Ayala Land Inc., the second-biggest builder, said it registered a net profit of P4.7 billion in the first quarter of the year, up 14 percent from a year ago, fueled by the growth of its large-scale integrated mixed-use estates and residential and commercial leasing businesses.
Ayala Land said in a disclosure to the stock exchange consolidated revenues rose eight percent to P26.97 billion from P25.06 billion a year ago after launching P38.1 billion worth of residential, office for sale and leasing projects.
“ALI’s first quarter earnings remain positive and reflect the steady performance of our core business units. With the strong economic fundamentals of the country, we continue to expand in existing locations and prime up our emerging and new estates,” Ayala Land president and chief executive Bernard Vincent Dy said.
Sales from property development, which include residential, office and commercial/industrial lots, rose two percent to P17.39 billion while revenues from commercial leasing, which include shopping center, office, hotels and resorts, climbed 10 percent to P6.45 billion from P5.8 billion in 2015.
Residential sales in the first quarter of 2016 stood at P24.7 billion for an average monthly sales of P8.2 billion.
Sales to migrant Filipino workers amounted to P6.2 billion, representing 25 percent of the total reservation sales.
Ayala Land in the first quarter launched the P19-billion Ayala Center Intercon block redevelopment.
The project involves the construction of an office development with 85,000 square meters of gross leasable area, a retail podium with 54,000 GLA, a 600-hotel, and 300-room condominium-for-lease and a transport terminal.
The property company last week ventured into the Bicol region with the opening of Ayala Malls Legapsi with 29,000 square meters of leasable space.
“Ayala Malls Legazpi marks our entry into the Bicol region. This is in line with our plans to expand our presence in key geographic growth centers in the country, to reach and serve more Filipinos and contribute to the local economies,” Dy said.
Ayala Land expanded its office development and leasing businesses with the opening of BGC Corporate Center and launched Park Triangle Corporate Plaza-South Tower, both located in Bonifacio Global City.
Ayala Land spent P23.4 billion for project and capital expenditures in the first quarter of the year. It spent over 50 percent on the completion of residential and commercial leasing projects, with the rest of the amount disbursed for new businesses and other investments.
The company recently raised P8 billion and P7 billion, representing the first and second tranche, respectively, of an approved P50-billion debt securities program to be issued over the next three years.
(Editor’s note: The Standard erred in Thursday’s headline showing Ayala Land Inc.’s first-quarter income at P3.7 billion. We regret the error.)