PROPERTY developer Ayala Land Inc. (ALI) on Wednesday said that first-half (H1) net income jumped 15 percent to P13.1 billion, from P11.4 billion last year, on robust demand for real estate and enhanced consumer activity.
“Ayala Land is hitting its growth targets across all business lines and market segments. Residential sales outperformed expectations. We will continue to pursue our growth trajectory with a keen eye on capital efficiency,” ALI President and Chief Executive Officer Anna Ma. Margarita Bautista-Dy said in a statement.
Property development revenues soared 34 percent to P51.9 billion on the back of a 40-percent increase in residential revenue, while commercial and industrial lots generated a further P6.3 billion, up 9 percent year on year (YoY).
Office-for-sale revenues, on the other hand, fell 15 percent YoY to P1.8 billion.
Residential reservation sales reached P68.4 billion, boosted by second-quarter sales growing 15 percent YoY to P35 billion.
During the first six months, ALI launched P33.7 billion worth of projects, 92 percent of which were from premium brands and 52 percent in horizontal developments.
Leasing and hospitality revenue rose 10 percent to P22.1 billion on higher occupancy rates.
Shopping center revenues, meanwhile, grew 8 percent to P11.1 billion, while office leasing rose 6 percent to P6.1 billion. Hotel and resort revenues climbed 19 percent to P5 billion as of end-June.
The services segment — construction, property management and airlines — notched a 52-percent revenue increase to P8.4 billion, while Makati Development Corp.’s net construction earnings doubled to P5.5 billion due to additional contracts from external projects.
AirSWIFT, Property Management and retail electricity supply firms under the ALI umbrella added another P2.9 billion to earnings.
“We are reinventing our assets to deliver elevated and differentiated experiences to our customers, and we will continue to bring compelling and market-shaping residential offerings to Filipino homeowners,” Bautista-Dy said.
First-half capital expenditures stood at P36.5 billion, of which about half went to residential projects, while 27 percent went to estate development and 22 percent was used on commercial leasing assets and land acquisition commitments.
ALI shares on Wednesday rose 5.08 percent to P30 apiece.
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