Ayala Land Inc. on Wednesday said its income in January to September grew 35 percent to P8.58 billion from last year’s P6.36 billion, as its operations improved despite the re-imposition of stricter quarantine restrictions in August.
Revenues were up by 15 percent to P72.6 billion from last year’s P63.32 billion, the company said.
For the third quarter alone, the company’s income was up 38 percent to P2.54 billion from the previous P1.84 billion, but still lower compared with the P8.05 billion it posted in the same period in 2019. Revenues for the quarter ending September, however, were up by a mere 6 percent to P23.64 billion from last year’s P22.12 billion.
“Our business recovery was sustained despite the reimposition of stricter quarantine measures last August. This was led by our residential business which continued to benefit from stable construction and sales this year,” company president and CEO Bernard Vincent O. Dy said.
“We remain positive that with the reopening of the economy, business activity will gain momentum in the fourth quarter, especially for segments like our malls, hotels and resorts which broadly rely on increased mobility.”
For the nine-month period, Ayala Land said its property development revenues rose 27 percent to P51.5 billion. Sales reservations for the period grew by 15 percent to P70.1 billion largely due to the company’s strong sales performance earlier in the year.
The company generated P21.8 billion in sales in the third quarter, a 3-percent drop from last year.
Despite mobility restrictions during the third quarter, four new projects worth P13 billion were launched. These are Ayala Land Premier’s Ayala Greenfield Estates 4C Tranche 1 in Calamba, Laguna and Lanewood Hills Phase 2 in Silang, Cavite; Avida’s Centralis Towers in Pasay City; and Amaia’s Steps Pasig Clara.
Ayala Land launched a total of 18 projects in January to September with a combined value of P59.1 billion, higher than full-year 2020 launches of P10.6 billion, as the company responded to stronger demand in the residential market.
Commercial leasing revenues were affected anew by the implementation of the enhanced community quarantine (ECQ) in August, falling 18 percent to P14.2 billion. While mall occupancy rates remained stable, revenues from shopping centers declined by a third to P4.9 billion due to limited operations as well as ongoing rent discounts granted to support tenants.
Revenues from office leasing grew 5 percent to P7.5 billion as business process outsourcing and headquarter operations were steady throughout the period. Meanwhile, hotels and resorts revenues ended 29 percent lower to P1.9 billion as resort operations were again further restricted.
Capital expenditures for the period reached P44.7 billion, with more than half allocated for residential projects, 16 percent for estate development, 14 percent for commercial projects and 13 percent for land acquisition.
Ayala Land has a total land bank exceeding 12,000 hectares nationwide.