ALI profit up 20% in 2015

Property giant Ayala Land Inc. (ALI) built up its earnings by a fifth last year on the back of the sustained strength of its property development and leasing units as well as improved margins across product lines.

In a statement, ALI said net income reached P17.6 billion in 2015, up 19 percent from P14.8 billion the previous year while consolidated revenues grew 13 percent year-on-year to P107.2 billion.

“We are pleased with the company’s performance in 2015. Our established and emerging estates provided the backbone for our sustained growth while we continue to introduce new estates that will further contribute to it in the coming years,” ALI president and chief executive officer Bernard Vincent Dy said.

To support its planned developments and new estates this year, ALI is jacking up its capital expenditures to P85 billion from P82.2 billion last year.

“The company continues to adopt a positive view of the property market given the strong economic fundamentals of the country. This year, we will remain focused on introducing new projects that will address market demand and continue to work on achieving our growth targets in line with the objectives set in our 2020 plan,” Dy said.

For last year, ALI said revenues from property development which includes the sale of residential lots and units, office spaces, and commercial and industrial lots amounted to P67.9 billion, a 10 percent increase from the P61.8 billion generated in 2014.

Revenues from the sale of residential lots and units amounted to P58.4 billion, mainly due to bookings and project completions across the company’s residential brands Ayala Land Premier, Alveo, Avida, Amaia and BellaVita.

ALI’s revenues from commercial leasing rose 16 percent to P24.5 billion with shopping centers contributing P13.4 billion.

Last year, the company introduced three new integrated mixed-use estates which are the 11-hectare Cloverleaf in Quezon City, the nine-hectare Capitol Central in Bacolod, and the 700-hectare Vermosa in Cavite.