Megaworld Corporation posted a 12 percent growth in net income for the first half of 2009 to P2 billion from the same period last year, owing primarily to the continued strength of its real estate sales.

“Megaworld’s business performance, seen in the context of a continued challenging global business landscape, was better than anticipated,” said Megaworld chairman Andrew Tan.

In a disclosure to the Philippine Stock Exchange, Tan noted that “our results in the first half of the year clearly show that we are on the right track.”

First-half consolidated revenues amounted to P8.73 billion, up 16 percent from P7.50 billion in the same period last year. Real estate sales contributed P6.07 billion, 15 percent higher than the P5.28 billion posted a year ago.

Rental income from its BPO office and retail developments hit a high of P939.17 million, up 46 percent from P645.02 million year on year.

Megaworld is the largest residential condominium developer and BPO office landlord in the Philippines. It pioneered the development of community townships that fit a “live-work-play-learn” mold.

To date, Megaworld has five townships within Metro Manila, as well as stand-alone projects in the Makati central business district.

The company currently has about 275,000 square meters of BPO office space and expects to complete another 60,000 square meters by year-end. Its BPO office projects at Eastwood City in Quezon City and McKinley Hill in Taguig City posted an average 95 percent occupancy rate in the first six months of the year.

Megaworld maintained a net cash position as of end-June 2009, with cash and cash equivalents at P15.73 billion from P12.33 billion as of end-December last year.

“We will continue to leverage on the strength of our business model,” said Tan adding that “Megaworld further strengthened its balance sheet in the first half of the year to better cope with the current business environment. We intend to expand our presence in the property industry and be ready to seize possible growth opportunities.”

Total borrowings amounted to P12.25 billion as of end-June 2009 compared with P9.95 billion as of end-December last year.