In 2020, the net profits of SM PRIME Holdings, Inc. declined by 52.8% to P18 billion and its mall market division reported a double-digit decline in sales.
Compared to P118,3 billion in the previous year, combined sales amounted to P81,9 billion.
The most important hit in SM Prime’s mall sector – the sales from P57.8 billion in 2019 declined by 59.2 percent to P23.6 billion.
The residential sales of the investment group increased by 6.4%, while commercial properties grew by 4.3%.
In a Monday exchange statement, SM Prime said that its malls last year received P21,8 billion, 55 percent lower than the previous year’s amount for P48,4 billion.
Philippine regions were shut down many times last year to try to deter the outbreak of coronavirus disease in 2019 (COVID-19). Mall sections were either locked or worked to a small degree since the government prohibited the travel of the people.
In the second half of the year, controls were cut, in an effort to reopen the economy slowly.
“We urge our Filipino colleagues to continue to help our local industries when practicing security procedures at all times,” said SM Prime Minister Jeffrey C. Lim.
Despite the health crisis, residential sales last year hit P46.5 billion (6.4 percent) from the previous year’s P43.7 billion.
From P17 billion, operational sales rose 15.9 percent to P19.7 billion. Reserve revenue last year amounted to P99 billion, up 10% from P90 billion before.
Their operating sales rose to P3.9 billion from P3.8 billion on commercial land. Hotel and conference center sales have slowed from P5.1 billion to P1.6 billion, down 68.6 percent.
Through launching SM City Butuan and SM City Mindoro in the final quarter of 2020, the firm extended its mall services in Mindanao. The enterprise has also opened its conference center in the city of Zambales for the public.
The firm cooperates with the Philippine Red Cross in supplying the company with room for the COVID-19 saliva chain reaction research (RT-PCR). SM Megamall and SM Mall of Asia are hosting the government’s health problem initiative.
In Pasay City the SM Mall of Asia Arena operates as a swabs for frontlines and travelers arriving in Manila Metro.
“SM Prime remains dedicated to helping the national and other organizations in controlling and combating the spread of COVID-19 in that region,” said Mr Lim.
“As we rebound steadily from group quarantines, our Corporation will strive to provide opportunities to strengthen and promote these joint activities with different [organizations] while helping our staff, our corporate associates and the communities we represent,” he said.