Property giant Ayala Land Inc. grew its net income last year by 19 percent to P17.6 billion as it posted a double-digit growth in revenues from residential development as well as shopping mall and office space leasing.
Consolidated revenue hit P107.2 billion, up 13 percent from the 2014 level, ALI disclosed to the Philippine Stock Exchange Friday. The growth was also buoyed by improved margins across its product lines.
“We are pleased with the company’s performance in 2015,” said Bernard Vincent Dy, ALI president and chief executive officer. “Our established and emerging estates provided the backbone for our sustained growth while we continue to introduce new estates.”
Flagship brand Ayala Land Premier, which caters to the upscale market, posted revenue of P23.4 billion, up from P23.1 billion in 2014.
Mid-income brand Alveo reported a 43-percent year-on-year increase in revenue to P14.3 billion.
Avida’s revenue was up 12 percent to P14.7 billion while Amaia’s rose by 8 percent to P3.9 billion.
Socialized housing arm BellaVita grew its revenue to P529.8 million due to higher contribution from projects in General Trias, Cavite; Alaminos, Laguna; Tayabas, Quezon; Porac, Pampanga, and Cabanatuan City, Nueva Ecija.
On its leasing portfolio, earnings from the sale of office space rose by 32 percent to P6.4 billion.
Revenue from shopping centers rose by 18 percent to P13.4 billion, due to the improved performance of Fairview Terraces and UP Town Center and the higher occupancy and average rental rates of existing malls.
Revenue from office leasing rose by 22 percent to P5.2 billion, attributed to the higher occupancy and average rental rates of existing buildings and the positive contribution of new offices.
Its hotels and resorts business posted a 6-percent increase in revenue to P5.9 billion due to improved earnings per available room at ALI’s internationally branded hotels, its own Seda hotels and El Nido Resorts.
This year, Ayala Land has budgeted P85 billion for capital spending, mainly to support planned developments, including new estates. The budget was slightly higher than the P82.2 billion in 2015.
“The company continues to adopt a positive view of the property market given the strong economic fundamentals of the country. This year, we will remain focused on introducing new projects that will address market demand and continue to work on achieving our growth targets in line with the objectives set in our 2020 plan,” Dy said.