ALI posts 18% profit growth to R13.5 B in H1

Property giant Ayala Land, Inc. (ALI) reported an 18 percent growth in net income to R13.5 billion in the first half of 2018 from the R11.5 billion it reported in the same period last year.

In a statement, the firm said earnings growth was propelled by solid contributions from its property development and commercial leasing businesses.

ALI’s total revenues likewise climbed 25 percent from R64.5 billion to R80.4 billion as the company developed more sustainable mixed-use estates across the country.

Its performance remained robust and reflected a sustained demand for residential products.

Sales reservations reached R72.0 billion, 17 percent higher and equivalent to an average monthly take-up of R12 billion. Net booked sales registered at R50.4 billion, 25 percent higher than the previous total of R40.5 billion.

Total revenues from property development, which includes the sale of residential lots and units, office spaces, and commercial and industrial lots, amounted to R55.7 billion – 27 percent higher than the R43.7 billion in the first half of 2017.

Revenues from the residential business also grew by 32 percent to R47.7 billion from R36.2 billion, driven by new bookings and project completion across the residential brands.

Contributing to revenue growth were commercial and industrial lot sales which reached R3.9 billion, 16 percent higher than R3.3 billion in the same period last year.

This was due to the further strengthening of this segment in Arca South, Taguig, Azuela Cove in Davao, Ayala North Point in Negros Occidental, Alviera, Pampanga and Cavite Technopark in Naic.

ALI also recognized revenues of MCT Bhd, its equity investment in Malaysia, amounting to R4.0 billion in sales as it focused on the completion of its projects in Cybersouth, an integrated development in Southern Klang Valley, and its residential project, Lakefront, in Cyberjaya.