The backlog, up 15 percent, covers about three to four years of work and points to sustained activity in the company’s core construction business.
4PH emerges as new growth driver
A key driver is the government’s Pambansang Pabahay Para sa Pilipino (4PH) program, which now accounts for a growing share of Megawide’s pipeline.
“We are back to our comfortable level of around P50 billion, which will give us more revenue visibility over the medium term. More important, we want to highlight an emerging segment in our portfolio – the expanded 4PH – which we believe will provide a solid and sustainable pipeline as we aspire to build over 100,000 socialized housing units in the next five to seven years,” said Saavedra, chair and CEO of Megawide.
Balancing cyclical construction demand
Nearly half of the company’s P23.4 billion in new contracts last year came from 4PH projects, reinforcing its pivot toward segments with steadier demand.
The strategy helps offset the inherently cyclical nature of construction by anchoring growth on long-term housing developments.
Capacity, cash flow and dividends
Megawide said the expanded housing push will also maximize its precast facilities and improve operational efficiency.
“The redemption is part of our long-term financial management program. Already, we see substantial improvement in our debt levels this first quarter of 2026 and, combined with a healthy order book and reduction in preferred shares, can free up incremental cashflow,” Saavedra said.
“This will allow us to explore a shift in our dividend strategy to tap a broader shareholder base,” he added.
The company plans to redeem its P1.5 billion preferred shares in April, a move that could free up cash and support higher dividends going forward.
—Edited by Miguel R. Camus
