Property developer Ayala Land Inc (ALI) booked a double-digit growth in first-quarter profit and revenues on the back of the robust performance from its residential, mall and hospitality businesses.
ALI said in a disclosure to the stock exchange Wednesday its first-quarter net income grew 39 percent year-on-year to P6.3 billion as consolidated revenues increased 33 percent to P41 billion.
“Our first-quarter performance reflects our commitment to delivering on our operational targets this year, focused on high value market opportunities and our drive for quality,” said ALI president and chief executive Anna Ma. Margarita Bautista Dy.
“Anchored on the resiliency of the local property market and consumer activity, we look forward to executing our plans to support our growth aspiration for 2024,” she said.
Property development revenues went up 47 percent to P25 billion, driven by robust residential and commercial lot bookings.
Residential revenues surged 51 percent to P21.4 billion, while sales from commercial and industrial lots rose 59 percent to P2.8 billion.
Office for sale revenues fell 26 percent to P826 million as the lower incremental percentage of completion of the projects offset the sales bookings during the quarter.
Residential reservation sales totaled P33.3 billion in the first quarter of 2024, up 20 percent from a year ago. This was led by the strong demand for products in the premium and vertical segments.
The first-quarter sales performance translated into a monthly sales average of P11.1 billion, an acceleration from P9.5 billion in 2023.
ALI said it launched four projects in the first quarter valued at P13.7 billion, composed of horizontal developments such as Alveo’s Sereneo in Nuvali, Laguna and Caleia in Vermosa, Cavite and Amaia’s Scapes Rizal Sector 2B and Scapes San Fernando Sector 2 in Pampanga.
Meanwhile, leasing and hospitality revenues increased 8 percent to P10.9 billion on higher mall occupancy, increased mall, office and hotel rental rates and the contribution of newly-opened hotel rooms in Manila Bay and Nuvali.
Shopping center revenues grew 9 percent to P5.5 billion, while office leasing improved 5 percent to P3.1 billion. Hotel and resort revenues expanded 8 percent to P2.3 billion.
ALI spent P18.8 billion in capital expenditures in the first three months, the bulk of which funded real estate developments.