Property developers Ayala Land Inc. and Robinsons Land Corp. posted lower third-quarter profits as their malls and residential businesses continued to be affected by the pandemic.
Ayala Land said in a disclosure to the stock exchange Friday third-quarter net profit fell 77 percent to P1.85 billion from P8.05 billion recorded in the same period last year.
Third-quarter revenues also declined 42.4 percent to P22.1 billion from P38.4 billion a year ago even as government restrictions started to ease.
“COVID-19 continues to significantly affect our operations and the performance of our company. We’ve seen, however, improvement in majority of our business lines in the third quarter as pandemic-related restrictions gradually eased,” Ayala Land president and chief executive Bernard Vincent Dy said.
“We anticipate favorable developments moving forward as the reopening of the economy gains traction and have started to introduce new product inventory in our estates,” Dy said.
Ayala Land said that as residential demand started to improve, it launched three projects with total sales value of P2.2 billion. Nine-month reservation sales amounted to P60.8 billion, 44 percent lower than the same period in 2019. Third-quarter sales reached P22.5 billion, an indication of demand picking up amid the uncertain environment, it said.
Meanwhile, Robinsons Land booked a third-quarter net income of P717 million, down 78.3 percent from P3.3 billion in the same quarter last year. This pushed nine-month net income to P4.4 billion, lower by 39.7 percent from P7.3 billion in 2019.
The group’s development portfolio, which accounted for 49 percent of consolidated revenues, went up by 33 percent to P8.84 billion. However, revenues from investment portfolio which included rental sales from malls and office projects dropped 33 percent from the same period a year ago.
“We are encouraged by the steady recovery of our businesses on the back of improving trends seen on a quarterly basis, as well as in October. Increasing customer engagement and the sustained interest from external partners give us confidence that business will continue to pick up in the coming months,” Robinsons Land president and chief executive Frederick Go said.
