Property developer Ayala Land Inc. booked a net income of P6.52 billion in the first three months, an increase of 17 percent from the same period last year on the back of higher revenues from residential and leasing businesses.
ALI said in a disclosure to the stock exchange consolidated revenues climbed 17 percent year-on-year to P36.98 billion in January to March.
Property development revenues expanded 29 percent to P25.14 billion, driven by residential revenues which surged 34 percent to P21.77 billion.
First-quarter reservation sales reached P31.5 billion, up 16 percent from a year earlier.
Commercial leasing revenues rose 11 percent to P8.16 billion on increasing contribution of newly opened malls, offices, hotels and resorts.
“With the sustained economic growth of our country, demand for residential products across all market segments remained strong in the first quarter of this year. Our leasing businesses also continued their steady increase in contribution, as recently opened malls and offices stabilize and start making an impact to our bottom line,” said ALI president and chief executive Bernard Vincent Dy.
ALI increased its stake in Malaysian property company MCT Bhd to 66.25 percent in the first quarter, as a part of of a strategy to establish presence in other Southeast Asian countries.
MCT registered development revenues of P1.72 billion from sales and project completions in the three-month period.
ALI also launched Parklinks, a 35-hectare mixed-use development along the C5 corridor in joint venture with LT Group Inc. The company said that for the rest of the year, it planned to launch two more estates in emerging growth centers in the country.
“We continue to introduce more sustainable mixed-use estates in the country. These estates have proven to be effective platforms for our diverse product lines and provide the backbone to create business districts and progressive communities,” said Dy.
The property firm is set to open five new shopping centers this year, including One Bonifacio High Street, Ayala Malls Circuit Makati, Ayala Malls Capitol Central, The Shops at Ayala North Exchange and Ayala Malls Bay Area.
It is also slated to complete three new offices and open 782 new rooms under the Seda hotels chain and 72 new rooms in Sicogon Island Resort in Iloilo.
The company said of the budgeted 2018 capital expenditure of P111 billion, the company spent P26.7 billion in the first quarter.
“Our capex spend is on track as we complete projects and introduce new offerings in our estates. We remain positive and continue to execute on our growth plans,” Dy said.