Property developer Ayala Land Inc. said Friday second-quarter net income jumped 51 percent to P4.9 billion from P3.26 billion in the same period last year on the back of double-digit growth in revenues.
ALI said in a disclosure to the stock exchange second-quarter consolidated revenues climbed 18 percent year-on-year to P28.7 billion amid resilient sales from office leasing and commercial lots, coupled with strong recovery in mall and hotel business.
The company said first-half net income also rose 34 percent to P8.1 billion as revenues improved by 9 percent to P53.3 billion.
“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,” said ALI president and chief executive Bernard Vincent Dy.
“We look forward to sustaining our recovery for the rest of the year, anchored on the country’s stable fundamentals and new socio-economic agenda,” he said.
Property development revenues reached P34.1 billion in the first six months as robust commercial lot sales cushioned lower residential revenues.
ALI said residential revenues fell 9 percent to P27.4 billion on stretched payment terms arising from the challenges of the pandemic, while office-for-sale revenues went down 28 percent to P1.5 billion on limited inventory.
Revenues from commercial lots more than doubled to P5.3 billion on strong demand at Arca South, Nuvali and Vermosa.
The company’s commercial leasing business, which includes shopping centers, office buildings, hotels and resorts generated revenues of P14.6 billion in the first half, a 54-percent increase from a year earlier.
Revenues from shopping centers doubled to P6.87 billion on higher basic rent and tenant sales, while revenues from office leasing increased 12 percent to P5.39 billion, owing to the contribution of newly-completed offices.
Sales from hotels and resorts grew 91 percent to P2.32 billion amid the resurgence in domestic tourism.
ALI said it spent P30.2 billion in capital expenditures in the first half primarily to fund residential and commercial projects, land acquisition and estate development.
The company said it was planning to launch two master-planned estates in the country in the second half this year to increase its presence in strategic growth areas.