ALI profit surges to P7.14B

Ayala Land Inc. grew its net profit last year by 31 percent to a record P7.14 billion on higher revenues across its residential, shopping center, office and hotel businesses alongside improved margins.

“We had another banner year in 2011, thanks to the strong revenue growth and margin improvements achieved by our key businesses,” ALI president Antonino Aquino said in a statement issued Wednesday.

“We were successful in launching a record number of projects last year, 67 in all, and we plan to launch about the same number of projects this year, but 29-percent higher in value and 20-percent more in the number of units,” Aquino added.

Consolidated revenues rose 17 percent to P44.21 billion, bulk of which came from real estate and hotel earnings, which jumped 16 percent to P41.23 billion. Net income margin improved to 16 percent in 2011 from 14 percent in the previous year.

“For 2012, we have earmarked another P37 billion for capital expenditures largely for the completion of ongoing developments, new residential and leasing project launches and new landbank acquisitions that will help sustain the company’s growth trajectory over the coming years,” said ALI chief finance officer Jaime Ysmael.

Property development posted revenues of P25.26 billion last year, 27-percent higher than the level a year ago. Revenues from the residential segment reached P23.99 billion for the year, 29-percent higher than the previous year.

Upscale brand Ayala Land Premier generated P9.51 billion in revenues, rising 36 percent from a year ago, while the contribution from Alveo and Avida brands likewise grew 15 percent and 44 percent, respectively, to P5.83 billion and P6.06 billion. New residential brand Amaia generated P841 million.

Revenues from shopping centers increased 14 percent to P4.96 billion, driven by higher average occupancy and lease rates.

Revenues from office leasing operations rose 19 percent to P2.5 billion, fueled by business process outsourcing (BPO) office leasing.

The hotels and resorts business increased revenues by 18 percent to P2.24 billion largely due to the impact of the consolidation of the El Nido Resorts operations in Palawan, through the acquisition of a 60-percent stake in the Ten Knots Group in April 2010.