Property developer Ayala Land Inc. said Tuesday net income rose 34 percent in the first half to P6 billion from a year ago, on the back of double-digit growth in revenues.
ALI said in a disclosure to the stock exchange consolidated revenues climbed 19 percent to P49 billion, boosted by strong residential sales and office leasing revenues.
It said net income in the second quarter jumped 16.6 times to P3.3 billion from a year earlier, while revenues expanded 90 percent to P24.3 billion from last year’s comparative figures, which were severely affected by the quarantine restrictions in the first half of 2020 during the onset of the pandemic.
“The pandemic continues to provide an extremely challenging environment for majority of our business lines. Improvement in our performance in the first half of the year was driven primarily by our property development business, with residential demand showing resilience and construction progress driving revenue recognition,” ALI president and chief executive Bernard Vincent Dy.
“While it may take some time for our economy to fully reopen, particularly with the re-imposition of ECQ in NCR, we are proactively launching new projects and ensuring we have adequate inventory to serve market segments that are demonstrating stability,” Dy said.
ALI’s property development revenues grew 37 percent to P34.1 billion, propelled by construction progress and higher sales bookings.
Sales reservations in the second quarter totaled P19.7 billion, up by 45 percent from the same period last year, as local demand remained strong despite the re-imposition of stricter quarantine restrictions from March until April. This brought first-half sales reservations to P48.2 billion, up 26 percent from last year.
The property firm launched 14 projects with total sales value of P44.3 billion in the first six months.
Commercial leasing business was weighed down by renewed restrictions resulting in 26-percent decline in revenues to P9.5 billion.
Shopping center revenues were also affected by mobility restrictions and dropped 43 percent to P3.4 billion. Office leasing revenues totaled P4.8 billion, a slight improvement from last year as business process outsourcing and HQ operations cushioned the impact of POGO cancellations.
Revenues from hotels and resorts ended 42 percent lower to P1.2 billion as operations were restricted from the end of March until April.