{"id":333198,"date":"2025-07-17T00:58:16","date_gmt":"2025-07-16T16:58:16","guid":{"rendered":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/?p=333198"},"modified":"2025-07-17T00:58:18","modified_gmt":"2025-07-16T16:58:18","slug":"stock-in-focus-filinvest-reit-corp-filrt-17-july-2025-by-regina-capital-development-corp","status":"publish","type":"post","link":"https:\/\/www.pinoyinvestor.com\/smartinvestor\/stock-in-focus-filinvest-reit-corp-filrt-17-july-2025-by-regina-capital-development-corp\/","title":{"rendered":"Stock in Focus: Filinvest REIT Corp. (FILRT) – 17 July 2025 by Regina Capital Development Corp."},"content":{"rendered":"\n

Summary of Broker’s Recommendation<\/h2>\n\n\n\n
Stock Code<\/strong><\/td>FILRT<\/td><\/tr>
Company Name<\/strong><\/td>Filinvest REIT Corp.<\/td><\/tr>
Broker<\/strong><\/td>Regina Capital Development Corp.<\/td><\/tr>
Opinion Issued on<\/strong><\/td>17 July 2025<\/td><\/tr>
Recommendation<\/strong><\/td>Buy<\/td><\/tr>
1-Year Target Price<\/strong><\/td>PHP 3.85<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
<\/div>\n\n\n\n

Overall, we are maintaining our BUY rating for FILRT with our price target of P3.85\/share, driven by the recent rebound in the office sector and the growing demand for REITs, fueled by the latest BSP rate cut. The recent inflation print may also encourage stable rental yields and increased demand for offices.<\/p>\n\n\n\n

<\/div>\n\n\n\n

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

Filinvest REIT Corp. (FILRT) posted a modest +0.03% year-on-year (y\/y) increase in 1Q 2025 Net Income to P303.75 million, while consolidated revenues grew by +9.23% y\/y to P720.98 million. This growth was mainly fueled by higher rental income, bolstered by increased occupancy rates during the period.<\/p>\n\n\n\n

Despite the initial rockiness of the property sector, early recovery was seen in office and residential segments, with primary demand being driven by RFO units, as well as increased IT-BPM and traditional demand in the 1st half (1H) of 2025.<\/p>\n\n\n\n

A significant portion of FILRT\u2019s property assets can be found in Alabang, where Leechiu\u2019s 2Q 2025 property report noted a relatively low demand for office space, with only 25k sqm compared to 102k sqm in Quezon City. However, vacancy rates saw a slight descent of -25% q\/q. FILRT\u2019s ongoing efforts to onboard new tenants, along with planned GLA expansions, could help mitigate the weakened demand for office space. <\/p>\n\n\n\n

FILRT has been broadening its tenant portfolio with the upcoming addition of two new tenants at Northgate Cyberzone. Qatar Aviation Services (QAS), the ground-handling arm of Qatar Airways Group, will be joining the mix, alongside Pinnacle Intelligence, Inc., a US-based BPO specializing in customer support for auto dealerships. These additions mark a strategic expansion of FILRT\u2019s tenant base, further enhancing the diversity and appeal of its properties. Overall, its tenant mix is composed of 75% BPOs and 25% traditional tenant mix, as of end-2024.<\/p>\n\n\n\n

As of 1Q 2025, FILRT manages approximately 17 fully operational office buildings, complemented by a prime commercial lot in Boracay. As of end-2024, its portfolio maintained a solid 83% occupancy rate, alongside a WALE of 7.26 years. US tariffs remain a growing concern, potentially impacting both construction material costs and supply chain stability. However, FILRT may mitigate some of these challenges through its recent tenant signings and upcoming property deals.<\/p>\n\n\n\n

<\/div>\n\n\n\n

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