SM Prime Holdings, Inc. (SM Prime), one of Southeast Asia’s leading integrated property developers, reported a consolidated net income of P11.66 billion for the first quarter of 2026.
This performance remains consistent with the P11.65 billion recorded during the same period in 2025, as robust growth in recurring income streams successfully balanced a moderation in real estate sales and rising operational costs.
Total revenues grew by 2% to P33.3 billion, underpinned by the strength of the mall and office sectors.
| Category | Q1 2026 | Q1 2025 | Change |
| Net Income | P11.66 B | P11.65 B | — |
| Total Revenue | P33.3 B | P32.8 B | +2% |
| Rental Income | P21.6 B | P20.0 B | +8% |
| Real Estate Sales | P7.8 B | P9.2 B | -16% |
| Capital Expenditure | P15.5 B | P17.1 B | -9% |
The company’s focus on recurring revenue proved vital this quarter, with rental income rising 8% due to improved occupancy rates across malls and offices.
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Malls: Remaining the primary growth engine, the mall segment contributed P20.4 billion (61% of total revenue), an 8% year-on-year increase.
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Other Revenues: This segment surged 11% to P3.9 billion, fueled by strong cinema ticket sales, food and beverage growth, and high demand for “experiential” offerings.
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Hotels & Conventions: Revenues rose 8% to P2.2 billion, driven by higher average daily rates (ADR) and a busy convention schedule.
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Offices: The segment grew 10% to P2.5 billion as businesses continued to stabilize their physical footprints. “Recurring income will remain central to our performance in 2026,” said Jeffrey C. Lim, President of SM Prime. “We are prioritizing occupancy, customer experience, and cost discipline to navigate the challenging operating environment.”
The residential segment faced headwinds, with revenue declining 14% to P8.3 billion due to moderated revenue recognition and cancellations. However, this was partially mitigated by a strong performance in the leisure residential market.
Costs and expenses saw a modest 3% increase to P16.6 billion, primarily attributed to fixed overheads and depreciation charges. Despite these pressures, SM Prime maintains a formidable fortress balance sheet, with total assets valued at P1.1 trillion as of March 2026.
In a demonstration of confidence in the company’s long-term value, the Board of Directors approved a regular cash dividend of P0.42 per share during their April 28 meeting.
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Total Dividend Payout: Approximately P12.2 billion (representing 25% of 2025 net income).
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Record Date: May 13, 2026.
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Payment Date: May 27, 2026.
