Ayala Land reports P11.74-B profit in 2013
MANILA, Philippines — Property giant Ayala Land Inc. grew its net profit last year by 30 percent to a record-high of P11.74 billion, exceeding targets on the back of strong growth across all business lines.
With this performance, ALI exceeded its target to breach the P10-billion mark in net profit one year ahead of the timetable in its five-year plan.
“Strong growth by each of our business lines showed good execution of the growth strategy with the increased delivery of new products in new geographies,” said ALI president Antonino Aquino. “Market acceptance of the products was enhanced by their presence in our integrated mixed use communities across the country and the strong ALI brand.”
ALI’s five residential brands launched a total of 28,482 units worth P108 billion last year. It broke ground for three new estates last year: the 21-hectare Circuit Makati, the 32-hectare Atria in Iloilo, and the 100-hectare Altaraza in Bulacan.
This year, the company plans to launch 30,000 units across all residential brands, anticipating continued demand for houses. It plans to launch 78 projects this year with an estimated value of P142 billion.
“During the same period of high profit growth, ALI also doubled its landbank, improved its organizational capability and strengthened its capital structure. These foundations will enable ALI to grow further in the years ahead,” Aquino said.
The company’s consolidated revenues reached P81.52 billion, 36 percent higher year-on-year. Revenues from real estate, which comprised the bulk of consolidated revenues, increased by 40 percent to P76.34 billion, driven mainly by the strong performance across the property development, commercial leasing and services business lines.
ALI spent a total of P66.26 billion in capital expenditures in 2013, seven percent lower than the P71.29 billion spent the previous year when it forked out more for landbanking, particularly for the acquisition of the FTI complex.
For this year, ALI has allotted P70 billion for capital outlays, primarily earmarked for the completion of ongoing developments and new launches. ALI said this would help sustain its growth trajectory in the coming years.