Property giant Megaworld registered a net income of P12.7 billion in the first half of 2026, marking a 5% year-on-year increase. The growth was propelled by the sustained expansion of its recurring income businesses and a remarkable surge in residential pre-sales amid macroeconomic headwinds.
Consolidated revenues for the period climbed to P44.2 billion, underpinned by broad-based growth across the company’s core office, mall, and hotel portfolios.
Megaworld Hotels & Resorts emerged as the fastest-growing recurring income segment, delivering an 11% increase in revenues to P3.1 billion during the first six months of the year.
The expansion was anchored by the opening of the 405-room Belmont Hotel Iloilo—the largest hotel in Iloilo City in terms of room keys—which expanded Megaworld’s hotel portfolio in the Iloilo Business Park to nearly 1,000 rooms. This milestone strategically positions the company to capture rising leisure, corporate travel, and MICE (Meetings, Incentives, Conferences, and Exhibitions) demand in the region.
Megaworld Lifestyle Malls posted an 8% rise in revenues to P3.6 billion, supported by strong tenant sales, steady foot traffic, and a high portfolio occupancy rate of 95%.
The mall portfolio welcomed over 16,000 square meters of new store openings during the first two quarters, spanning food, fashion, and experiential retail concepts. Supported by built-in demand from township residents, office workers, and visitors, the malls successfully maintained high consumer activity despite inflationary pressures.
Office rental revenues grew 5% to P7.8 billion, reflecting the stability of a tenant base anchored by Global Capability Centers (GCCs) and Knowledge Process Outsourcing (KPO) firms. These tenants perform knowledge-intensive, business-critical functions that ensure long planning horizons and stable space requirements.
Office lease renewals for Megaworld Premier Offices and Megaworld Global Offices surpassed 122,000 square meters in the first half across key hubs, including Eastwood City, Uptown Bonifacio, McKinley Hill, Iloilo Business Park, and Southwoods City. Notably, Megaworld secured renewals covering more than 80% of office leases scheduled to expire in the entirety of 2026, underscoring exceptional tenant retention and portfolio stickiness.
Residential pre-sales surged 15% year-on-year to P63 billion, fueled by a remarkable second-quarter performance that generated P33.3 billion (up 20%).
Strong take-up from provincial projects—including developments in Ilocandia Coastown and Paragua Coastown—provided significant momentum. This performance stood in stark contrast to the wider Metro Manila market, where net unit pre-sales fell 47% over the same period according to Colliers Philippines. Megaworld attributes this outperformance to the enduring appeal of its self-sustaining townships, which seamlessly integrate homes with workplaces, retail, leisure, and essential services.
Residential revenue bookings climbed to P27.2 billion, backed by steady construction progress and capital deployment across ongoing developments.
Megaworld concluded the first half of 2026 with P22.8 billion in cash, while its net debt-to-equity ratio further improved to 0.24x, reflecting strong liquidity and disciplined financial management.
“Our first-half performance demonstrates Megaworld’s ability to deliver growth across all segments even amid a challenging property market,” says Lourdes T. Gutierrez-Alfonso, President and CEO, Megaworld. “This outperformance reflects the enduring advantage of our integrated townships, where complementary uses reinforce demand across the portfolio. Supported by a strong and prudently managed balance sheet, we have ample financial flexibility to sustain execution and pursue growth opportunities even in a more volatile macroeconomic environment.”
Looking ahead, Megaworld remains steadfast in its long-term leasing expansion strategy, targeting two million square meters of office gross leasable area (GLA) and one million square meters of retail GLA by 2030, bringing its total leasing GLA footprint to three million square meters.
