In a report to the Securities and Exchange Commission (SEC), Eton said first half revenues slid by about 60 percent from P2.56 billion in the same period last year partly due to non-recognition of sales of projects that have yet to commence construction. The company uses the percentage-of-completion method in recognizing residential project revenues.
While construction of Eton's ongoing residential and commercial projects continued full-blast in the first half, construction activities in Aurora Heights Residences, First Homes Makati and West Wing Villas were moved back to give way to design improvements and enhancements.
Despite construction delays, however, the company said it still expects to post net income of about P300 million for 2012.
"We moved back construction timetables of some projects for much-needed design improvements. These range from road widths to building facade. The enhancements would definitely add value to these projects in terms of quality and functionality. This is no different from what we did in 2007 for The Eton Residences Greenbelt, when we commissioned a Hong Kong-based architectural firm, Palmer and Turner, to redesign the building facade. This was done even when we have already fully-sold the project," said Michael Tan, Officer-in-Charge of Eton Properties Philippines, Inc..
Tan said he expects the recognition of income for these projects once construction begins. For the fully-sold West Wing Villas, construction is expected to start in September this year and the first quarter of 2013 for high-rises First Homes Makati and Aurora Heights Residences. First Homes Makati is a 34-storey condominium project along Pasong Tamo, Makati, just steps away from Ayala Avenue.
Recently, the company launched Hanna Manor, the 11th cluster of The Manors at North Belton Communities in Quezon City, an enclave featuring 14 clusters of 5-storey mid-rise buildings. Eton also plans to launch within the year a Quezon City project featuring mid-rise and high-rise condominiums, a residential condominium for the upper class market in Makati and the second tower of First Homes Makati.
Eton celebrated its fifth year anniversary last March. In its first five years, Eton Properties launched a total of 45 projects. Eton's portfolio of launched and completed projects encompasses residential, commercial, office projects and township developments. (For inquiries, please call 845 3866 or visit www.eton.com.ph).