In the first half of 2026, SM Supermalls reached a revenue milestone of P41.8 billion, a quiet but telling signal that the Filipino mall — long a gathering place as much as a marketplace — continues to hold its ground in an uncertain economy. The company's growth was not accidental: it was built through deliberate expansion of space, tenants, and the very idea of what a mall can be. At a moment when retail globally is searching for its footing, SM's steady 3.7 million daily visitors suggest that community, not commerce alone, may be the more durable foundation.
SM Supermalls posts record P41.8B H1 revenue on portfolio expansion and tenant growth
They're not pulling in more people—they're making more from the same crowd
Mark
So SM grew revenue 8 percent year-on-year. Is that strong for a mall operator, or is it just keeping pace?
Mimi
In a year where macroeconomic headwinds are real, 8 percent is solid. But the more interesting number is that foot traffic stayed flat at 3.7 million daily visitors. They're not pulling in more people—they're making more money from the same crowd.
Luke
How are they doing that? Is it higher rents, or are tenants paying more because they're selling more?
Mimi
The source doesn't break that down. We know they added 982 tenants and 100,000 square meters of space, so there's definitely a volume play. But whether existing tenants are paying more or the new tenants are just filling empty slots—that's not specified.
Mark
They added pickleball courts and hosted a marathon. Is that actually moving the needle on revenue, or is it brand-building?
Mimi
It's hard to say from the numbers alone. The company frames it as customer engagement and diversification beyond retail. But the source doesn't tell us whether the pickleball courts are generating meaningful revenue or if they're loss leaders to drive traffic.
Luke
Right. And the marathon—25,000 runners on EDSA. That's a one-time event. Does SM run marathons every year now, or was this a one-off sponsorship?
Mimi
The source says they co-hosted it, but doesn't clarify whether it's recurring. It reads like a marquee event, but we don't know the economics or the frequency.
Mark
What about the sustainability stuff—the solar panels and EV charging? Are those cost centers or profit centers?
Luke
They're almost certainly cost centers in the near term. 203 EV charging stations across 90 malls, all free. That's an investment in future relevance, not immediate return.
Mimi
Which is interesting because it suggests SM is thinking long-term. They're not just chasing this year's revenue; they're positioning for what comes next.
Mark
And SM Nuvali—is that a new mall or a renovation?
Luke
The source just says it's "planned." No opening date, no size, no location details. We know it exists in the pipeline, but that's about it.
Mimi
It's part of their five-year transformation platform. So it's part of a bigger strategy, not an isolated project. But you're right—the specifics aren't there.
O Pulso
- Macroeconomic headwinds have pressured retailers across the region, making SM's 8% revenue jump to P41.8 billion all the more striking against the broader tide.
- The company is racing to redefine itself before the traditional mall model becomes obsolete — adding pickleball courts, hosting a 25,000-runner EDSA marathon, and rolling out EV charging across all 90 properties.
- Tenant confidence is rising, with sign-ups climbing to 23,174 businesses, even as the company pushes into leisure and entertainment to reduce its dependence on retail alone.
- Brand Finance's back-to-back recognition of SM as the Philippines' Strongest Brand, with a near-perfect score of 95.3, reflects a reputation that is holding — and being actively reinforced.
- The five-year 'My SM' transformation platform is now the company's central wager: that malls can evolve from places people visit to buy things into places people return to simply be.
In the first half of 2026, SM Supermalls reached a revenue milestone of P41.8 billion, a quiet but telling signal that the Filipino mall — long a gathering place as much as a marketplace — continues to hold its ground in an uncertain economy. The company's growth was not accidental: it was built through deliberate expansion of space, tenants, and the very idea of what a mall can be. At a moment when retail globally is searching for its footing, SM's steady 3.7 million daily visitors suggest that community, not commerce alone, may be the more durable foundation.
SM Supermalls entered record territory in the first half of 2026, reporting P41.8 billion in revenue — an 8 percent rise from the P38.6 billion earned in the same period a year earlier. The growth unfolded against a difficult economic backdrop, making the numbers a statement as much as a milestone.
The expansion was methodical. Leasable area grew to 5.1 million square meters, the tenant base reached 23,174 businesses, and daily foot traffic held firm at 3.7 million visitors. SM Supermalls president Steven Tan described the results as a reflection of trust — shoppers, he said, continue to find value not just in the stores, but in the sense of community the malls provide.
That community is being actively reshaped. SM added 41 pickleball courts during the period, bringing its nationwide total to 102 across 32 malls. It co-hosted the Galaxy Manila Marathon on June 12 — the first full marathon along EDSA — drawing more than 25,000 runners. These are not incidental additions; they are part of a deliberate effort to make the mall a destination for living, not only for shopping.
Sustainability investments are keeping pace. Solar capacity rose to 122 megawatt peak, and all 90 SM malls now offer free EV charging through 203 stations. Brand Finance named SM Supermalls the Philippines' Strongest Brand for the second consecutive year, awarding it a Brand Strength Index score of 95.3 and an AAA+ rating.
Looking ahead, the company is executing its five-year 'My SM' transformation platform — introducing new retail brands, entertainment concepts, and leisure attractions designed to meet consumers where their preferences are heading. A new property, SM Nuvali, is in the pipeline. The underlying conviction is that the mall's future lies not in what it sells, but in what it offers as a place to belong.
SM Supermalls crossed into record territory in the first half of 2026, pulling in P41.8 billion in revenue—a jump of 8 percent from the P38.6 billion it earned in the same period a year before. The growth came as the company added physical space, signed more tenants, and kept shoppers moving through its doors despite an economic environment that has tested most retailers.
The numbers tell a story of deliberate expansion. The company's total leasable area grew by 3 percent to 5.1 million square meters, up from 5.0 million the year prior. Its tenant roster swelled to 23,174 businesses, a 4 percent increase from 22,192. What matters most, perhaps, is that daily foot traffic held steady at 3.7 million visitors—a sign that the malls themselves remain destinations, not just repositories of stores.
Steven Tan, SM Supermalls' president, framed the results as evidence of trust. "Despite macroeconomic headwinds, they continue to find value in the variety of our offerings and the strong sense of community in our malls," he said at a press briefing. The company is betting that this trust will hold as it pushes beyond the traditional mall formula. During the first half, SM added 41 pickleball courts to its properties, bringing the total to 102 courts spread across 32 malls nationwide. It also co-hosted the Galaxy Manila Marathon on June 12, the first full marathon run along EDSA, which drew more than 25,000 runners across multiple race categories.
The company has also made sustainability a visible part of its strategy. Solar power generation from rooftop photovoltaic systems increased to 122 megawatt peak from 100 megawatt peak. All 90 SM malls now offer free electric vehicle charging through a network of 203 stations—a detail that signals where the company sees its customers heading.
Brand Finance recognized the strategy by naming SM Supermalls the Philippines' Strongest Brand for the second consecutive year, with a Brand Strength Index score of 95.3 out of 100 and an AAA+ rating in the Philippines 50 2026 report. The external validation matters less than what it reflects: a company that has managed to stay relevant in a sector where relevance is not guaranteed.
Tan outlined the path forward. "SM will keep building business momentum through the introduction of exciting new brands, cinema and entertainment acts, as well as leisure offerings that will sustain market interest." The company is executing a five-year transformation platform called My SM, designed to introduce new retail brands, entertainment concepts, and leisure attractions calibrated to how consumers' preferences are shifting. SM Nuvali, a new property, is in the pipeline. The bet is that malls can evolve from places where people go to buy things into places where people go to be—and that when they do, the tenants and the company itself will thrive.
Citações Notáveis
Despite macroeconomic headwinds, they continue to find value in the variety of our offerings and the strong sense of community in our malls.— Steven Tan, SM Supermalls president
SM will keep building business momentum through the introduction of exciting new brands, cinema and entertainment acts, as well as leisure offerings that will sustain market interest.— Steven Tan, SM Supermalls president
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