MANILA, Philippines — Heightened consumer activity and property demand buoyed the first-quarter earnings of real estate giant Ayala Land Inc. by 39 percent to P6.3 billion, with the Zobel-led firm eyeing more premium projects this year.
Ayala Land on Wednesday said revenues had surged by 33 percent to P41 billion during the period as property development and residential sales swelled.
“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,” Ayala Land president and CEO Anna Ma. Margarita Bautista-Dy said in their stock exchange filing.
On its first quarter results, property development revenues increased by 47 percent to P25 billion, while residential revenues surged by 51 percent to P21.4 billion.
READ: Ayala Land grows 2023 profit by 32% to P24.5B, targets P50B by 2028
Commercial and industrial sales reached P2.8 billion, representing a 59-percent increase.
Residential reservation sales, an indicator of future revenue performance, totaled P33.3 billion, up by 20 percent on high demand for premium and vertical residences.
New projects worth P13.7B
The developer launched four new projects in the January to March period with a total value of P13.7 billion. These include upscale brand Alveo Land’s Sereneo in Laguna province and Caleia in Cavite province. Amaia, another core residential brand, opened two Scapes projects in the provinces of Rizal and Pampanga.
Meanwhile, leasing and hospitality revenues of Ayala Land climbed by 8 percent to P10.9 billion due to higher mall occupancy and an increase in mall, office, and hotel rental sales.
READ: Ayala Land conquers North to South
Revenues of service businesses (construction, property management, and airline) went up by 42 percent to P4.2 billion, driven by new contracts from the external projects of Makati Development Corp.
“Anchored on our resiliency of the local property market and consumer activity, we look forward to executing our plans to support our growth aspiration for 2024,” Dy said.
Earlier, Ayala Land announced it would increase spending this year by 16 percent to P100 billion, as the developer planned to launch more projects under its premium brands.
According to Dy, the majority of the new projects will be launched in the second half of the year, with around 53 percent rising in Metro Manila.