SM Prime Holdings, Inc. (SM Prime), one of Southeast Asia’s largest integrated property developers, declared an all-time high dividends of PhP13.9 billion as the Sy-owned company reported a net income of PhP11.7 billion in the first quarter this year or 11 percent higher than the PhP10.7 billion posted in the same period last year.
On April 29, 2025, the company’s Board of Directors approved the declaration of a regular cash dividend amounting to 25 percent, plus an additional 5 percent special dividend, of SM Prime’s 2024 net income, resulting in a cash dividend of Php0.48 per share.
The cash dividends total to approximately Php13.86 billion, payable on May 28, 2025 to shareholders of record as of May 14, 2025.
For its first quarter 2025 performance, SM Prime said that its 11 percent increase in net income was driven by steady revenue growth, margin improvement and disciplined cost management.
Total revenue rose 7 percent year-on-year from PhP30.7 billion to PhP32.8 billion due to higher rental income, revenue recognition from real estate sales and other revenues. EBITDA grew 12 percent from PhP18.1 billion to PhP20.2 billion, while operating income expanded 13 percent from PhP14.7 billion to PhP16.7 billion.
“Our portfolio is off to a strong and promising start this year,” said SM Prime President Jeffrey C. Lim. “Malls, offices, hotels and convention venues, and even residences, posted gains in the first quarter. This speaks to both the resilience of domestic demand and the strength of our integrated development strategy.”
Malls remained the largest contributor to overall profitability, accounting for 69 percent of earnings. The segment delivered PhP8.1 billion, up 13 percent from PhP7.2 billion a year earlier, because of increased foot traffic, high occupancy and growing interest in experiential offerings.
Meantime, earnings from residential units rose 4 percent to PhP2.1 billion from PhP2.0 billion, accounting for 18 percent of SM Prime’s net income for the quarter. The upturn was supported by higher revenue recognition from completed projects and prior-year sales.
The office and warehouse segment contributed 10 percent to total net income, with earnings rising 15 percent to PhP1.2 billion from PhP1.0 billion last year. Stronger occupancy and prudent cost management contributed to the improved performance.
Hotels and convention centers contributed 3 percent of total net income, posting a 17 percent increase to PhP362 million from PhP309 million last year, owing to strong room bookings and a robust calendar of MICE (Meetings, Incentives, Conferences, Exhibitions) events.
As of March 2025, SM Prime’s total assets stood at PhP1.05 trillion, a 3 percent increase from year-end 2024. Capital expenditure during the quarter was largely unchanged year-on-year at PhP19.3 billion, with the majority allocated to development.
“While external uncertainties persist, our focus remains on disciplined execution and staying the course,” Lim said. “We have a solid foundation, and we are confident in our capacity to generate long-term, sustainable value for our shareholders.”
