{"id":327818,"date":"2024-05-08T17:04:21","date_gmt":"2024-05-08T09:04:21","guid":{"rendered":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/?p=327818"},"modified":"2024-08-27T00:27:00","modified_gmt":"2024-08-26T16:27:00","slug":"stock-in-focus-robinsons-land-corp-rlc-8-may-2024-by-regina-capital-development-corp","status":"publish","type":"post","link":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/stock-in-focus-robinsons-land-corp-rlc-8-may-2024-by-regina-capital-development-corp\/","title":{"rendered":"Stock in Focus: Robinsons Land Corp. (RLC) – 8 May 2024 by Regina Capital Development Corp."},"content":{"rendered":"\n

Summary of Broker’s Recommendation<\/h2>\n\n\n\n
Stock Code<\/strong><\/td>RLC<\/td><\/tr>
Company Name<\/strong><\/td>Robinsons Land Corp.<\/td><\/tr>
Broker<\/strong><\/td>Regina Capital Development Corp.<\/td><\/tr>
Opinion Issued on<\/strong><\/td>8 May 2024<\/td><\/tr>
Recommendation<\/strong><\/td>Buy<\/td><\/tr>
1-Year Target Price<\/strong><\/td>PHP 25.30<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
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We are reiterating our BUY recommendation on RLC with our Target Price of P25.30 apiece on the anticipation of sustained upward momentum in its rental income. RLC is currently trading at 4.56x P\/E based on 2025 EPS, making the stock undervalued on our model.<\/p>\n\n\n\n

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Analysis and Opinion<\/h2>\n\n\n\n

In the 1st quarter (1Q) 2024, RLC registered a +21% year-on-year (y\/y) increase to P3.34 billion in its 1Q 2024 bottomline, supported by the growth seen across all its business segments. <\/p>\n\n\n\n

The company saw revenue boost of +19% y\/y to P11.03 billion, primarily propelled by its mall leasing division, which saw a +14% y\/y growth to P4.45 billion on the back of strong consumer spending trends. Rental revenues also saw a significant uptick, climbing by +15% y\/y to P3.19 billion as RLC continuously experience higher occupancy rate. To close the quarter, the firm ended with a total mall GLA of 1.62mn sq.m., slightly up from the previous quarter’s 1.6 million sq.m. The company plans to open new malls \u2014 the Opus luxury mall in Pasig and its Pagadian mall later in the year.<\/p>\n\n\n\n

On the flipside, the office segment displayed a sluggish growth still, with a modest +3% y\/y revenue increase to P1.90 billon in 1Q 2024. Notably, there was a decline in EBITDA by -4% y\/y, amounting to P1.51 billion. Despite this, the company expanded its GLA to 793k sq.m. with the addition of GBF Center 1 in Bridgetowne, Pasig. Now, the firm is looking to open its Cybergate 3 office building in Iloilo.<\/p>\n\n\n\n

Moreover, RLC booked a double-digit growth of +13% y\/y to P2.36 billion in its residential business category. The company\u2019s net sales take-up for the quarter tumbled by -88% y\/y to P684 million mainly due to the management\u2019s decision of raising reservation fees to better attract high-end homebuyers. This adjustment does not affect 1Q 2024 realized revenues though which jumped by +20% y\/y totaling P2.84 billion. Meanwhile, the hotel segment continuously expanded by +54% y\/y, highest growth in its core business lines, amounting to P1.35 billion as the strong tourist arrivals pushed up occupancy and rental rates.<\/p>\n\n\n\n

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Check how many brokers recommend this stock<\/h2>\n\n\n\n
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All Stock Rankings<\/a><\/blockquote>