Ayala Land earns P8.1 B in 6 months

Property developer Ayala Land Inc. (ALI) reported a 34 percent jump in its net income in the first half of the year to P8.1 billion, driven by the improved operations of its various businesses.

Consolidated revenues in the first semester went up by nine percent to P53.3 billion with second quarter revenues growing 18 percent to P28.7 billion.

For the second quarter alone, ALI booked a 51 percent surge in earnings to P4.9 billion.

ALI president and CEO Bernard Vincent Dy said that strong mall and hotel recovery, resilient office leasing operations, and solid demand for commercial lots led the company’s performance in the first half.

“The increased economic activity has enabled our various business segments to generate quarter-on-quarter improvements and support the growth of our diversified real-estate portfolio,” Dy said.

“We look forward to sustaining our recovery for the rest of the year, anchored on the country’s stable fundamentals and new socioeconomic agenda,” Dy added.

ALI reported property development revenues of P34.1 billion as solid commercial lot sales cushioned lower residential bookings.

However, residential revenues slipped by nine percent to P27.4 billion due to stretched payment terms arising from the challenges of the pandemic.

ALI said residential sales reservations inched up by two percent to P49.3 billion.

“Sales were driven by Ayalaland Premier’s Ciela Heights at Carmona, Cavite, Avida’s Patio Madrigal at Pasay City, Alveo’s Corvia at Alviera, Pampanga, and Amaia Skies Cubao Tower 3 at Quezon City,” the company said.

ALI launched 12 projects worth P34.9 billion in the first half, with five projects valued at P17.9 billion offered to the market in the second quarter.

Commercial leasing generated revenues jumped by 54 percent to P14.6 billion, driven by higher mobility.

The property developer reported that shopping center revenues in the first half doubled to P6.9 billion due to higher rent and tenant sales, while office leasing revenues increased by 12 percent to P5.4 billion owing to the contribution from newly completed offices.

Moreover, hotel and resort revenues grew 91 percent to P2.3 billion from increased guest patronage and higher room rates due to the resurgence of domestic tourism.

ALI said capital expenditures reached P30.2 billion in the first semester. About 54 percent went to residential projects, 10 percent on commercial projects, 15 percent on land acquisition, 15 percent on estate development, and six percent on other purposes.

The property developer is set to launch two masterplanned estates in the country within the second half of this year to increase its presence in strategic growth areas.

“From these launches, ALI hopes to meet the increasing market demand for real estate products,” the company said.