(Source: Inside Retail Philippines | 20 February 2017)
Tutuban Center parent Prime Orion has reported a reversal of fortune – converting a P62.1 million net loss reported a year ago into a P16 million profit in the quarter to December.
The profit was posted despite an 8 per cent decrease in consolidated revenues to P186.6 million during the second quarter, down from P201.9 million.
“The decrease in revenues was attributable to lower specialty leasing revenue; however, such decrease was offset by the increase in insurance premiums and commissions,” the company said in a statement.
Prime Orion has interests in real estate and property development, manufacturing and retailing & distribution, non-life insurance and other allied services through Orion Land, Orion I Holdings Philippines and OE Holdings.
Its Tutuban Properties subsidiary owns the lease and development rights to Tutuban Center in Divisoria and is redeveloping the property using a P5.63 billion investment from Ayala Land in return for a 51.36 per cent equity interest.
Prime Orion and Ayala are upgrading the mall to take advantage of the expected increase in customers following completion of the North-South Commuter Rail Project – a 56km commuter railway line from Tutuban to Calamba, Laguna and a 478km long-haul railway line to Legazpi in Albay.