Property developer Ayala Land Inc. said Monday net income increased 18 percent in the first half to P11.5 billion from P9.7 billion a year ago, on solid contribution from residential, mall and office businesses.
Ayala Land said in a statement consolidated revenues climbed 18 percent in the six-month period to P64.5 billion from P54.8 billion it earned in the same period last year, as revenues from real estate increased 18 percent to P60.5 billion.
More than half of company’s revenues came from property development which included the sale of residential lots and units, office spaces and commercial and industrial lots.
“We’ve seen residential sales pick up in 2017, after a few years of relatively flat growth. Given our pipeline of launches for the balance of 2017, we remain positive that we can sustain the growth in the second half of the year. At the same time, our leasing business continues on its steady upward trajectory given the increasing contribution of our new shopping centers, offices and hotels,” Ayala Land president and chief executive Bernard Vincent Dy said.
Reservation sales went up 11 percent in the first six months to P61.4 billion, translating into monthly sales takeup of P10 billion.
Dy said he expected reservation sales to remain strong in the rest of the year, as the company was set to launch more projects in the second half.
ALI is slated to launch this month Azuella Cove, 25-hectare master-planned, mixed-use community in Davao City. By the fourth quarter, ALI in joint venture wit LT Group Inc. will also unveil the 35-hectare Parklinks along C5 between Quezon City and Pasig City.
ALI chief finance officer Augusto Bengzon said the company would accelerate project launches in the second half to meet the P100-billion project launch target for the whole of 2017.
“In the first quarter of the year, we launched P10-billion [projects] and in the second quarter of the year we launched P21-billion [projects]. We see an acceleration in launches in the last to quarters of the year. We need to launch roughly P30 [billion] to P35 billion worth of projects each quarter,” Bengzon said.
