LISTED property developer Ayala Land, Inc. (ALI) posted a 33% increase in its attributable net income for the third quarter amid higher revenues.
In a regulatory filing on Wednesday, ALI said its net income attributable to equity holders for the July-to-September period rose to P7 billion from P5.26 billion last year.
The company’s total revenues during the third quarter rose 0.08% to P32.29 billion from P32.26 billion last year.
For the three quarters to September, ALI logged a 38% increase in its attributable net income to P18.4 billion led by a surge in the revenues of the company’s various business lines.
“The strong performance of our various business lines in the first nine months of 2023 is a testament to the continuing resilience of the residential market and vibrant consumer activity despite ongoing macroeconomic challenges,” ALI President and Chief Executive Officer Anna Ma. Margarita Bautista-Dy said.
Consolidated revenues during the period rose 15% to P98.9 billion.
“This positive trend, guided by our new focus on quality, people, sustainability, and growth, will enable us to strengthen our diversified portfolio and further enhance earnings,” Ms. Bautista-Dy said.
According to ALI, its property development revenues improved by 4% to P57.2 billion because of higher residential completion, stable bookings, and office unit sales. Residential revenues increased 4% to P47.5 billion, while office-for-sale revenues climbed 31% to P2.8 billion.
However, the company’s revenues from commercial and industrial lots dropped 8% to P6.9 billion.
“Residential sales reservations in the first nine months increased by 11% year-on-year to P85.9 billion. Third-quarter sales reached P27.6 billion, adding to the P58.3 billion sales generated in the first half,” ALI said.
“The in-demand projects during the period were Alveo’s Park East Place in Bonifacio Global City, AyalaLand Premier’s Ciela in Carmona, Cavite, Arcilo in Nuvali, Laguna, Parklinks South Tower in Quezon City, and Avida Towers Makati Southpoint,” it added.
In the third quarter, ALI launched five new projects valued at P4.4 billion. These are AyalaLand Premier’s Ayala Greenfield Estates Parkside Terraces Tranche 2, Andacillo Tranche 5, and Lanewood Hills Phase 3 Batch 3; Avida’s first mid-rise condominium offering in Nuvali; Solara Park Storeys; and Amaia’s Scapes Cabuyao Sector 4.
These developments put ALI’s total launches this year to 11 projects pegged at P36.3 billion.
ALI said its commercial leasing revenues grew 32% to P30.8 billion on the back of improving occupancy and rents.
Shopping center revenues rose 40% to P15.7 billion led by higher occupancy and rents due to healthy operations, while office leasing revenues increased 7% to P8.8 billion because of stable occupancy and higher rents from its business process outsourcing and corporate tenant base.
Hotel and resort revenues went up 62% to P6.3 billion as higher domestic business travel and local tourist activity boosted occupancy and room rates.
In September, ALI launched the 789-hectare Southmont Estate in Silang, Cavite, bringing its total count to 50 estates nationwide. The estate will have a P12 billion initial development cost.
“We will continue to focus on high-value market opportunities and meeting our operating targets to sustain our momentum for the year,” Ms. Bautista-Dy said.
On Wednesday, shares of ALI at the local bourse improved by P1.15 or 4.11% to P29.15 each. — Revin Mikhael D. Ochave