The Zobel family’s real estate giant Ayala Land, Inc. reported a 39 percent jump in net income to P6.3 billion for the first quarter of 2024 while consolidated revenues increased by 33 percent to P41.0 billion from the first quarter of 2023.
In a briefing, ALI said it delivered significant earnings growth in the first quarter of the year, supported by healthy property demand and consumer activity.
“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," said ALI President and CEO Ms. Anna Ma. Margarita Bautista-Dy.
She added that, “Anchored on the resiliency of the local property market and consumer activity, we look forward to executing our plans to support our growth aspiration for 2024."
Property development revenues increased by 47 percent to P25.0 billion, driven by robust residential and commercial lot bookings. Residential revenues surged by 51 percent to P21.4 billion, and revenues from commercial and industrial lots jumped 59 percent to P2.8 billion.
Meanwhile, office-for-sale revenues registered 26 percent lower to P826 million as the lower incremental percentage of completion of the projects offset the sales bookings during the quarter.
Residential reservation sales totaled P33.3 billion, 20 percent higher than the first quarter of 2023 and 19 percent more than the previous quarter, led by the strong demand for products in the premium and vertical segments.
The quarter’s sales performance translated to a monthly sales average of P11.1 billion—an acceleration from P9.5 billion in 2023.
AyalaLand Premier’s (ALP) Park Villas in Makati CBD and The Courtyards Phase 3 in Vermosa, Alveo’s Park East Place in BGC, and Sereneo in Nuvali, and Avida’s Verge Tower 1 in Mandaluyong drove the sales performance during the period.
Ayala Land launched four projects in the first quarter of 2024 valued at P13.7 billion, composed of horizontal developments such as Alveo’s Sereneo in Nuvali, Laguna and Caleia in Vermosa, Cavite, and Amaia’s Scapes Rizal Sector 2B and Scapes San Fernando Sector 2 in the province of Pampanga.
Meanwhile, leasing and hospitality revenues increased by 8 percent to P10.9 billion, owing to higher mall occupancy, increased mall, office and hotel rental rates, and the contribution of new Seda hotel rooms at Manila Bay and Nuvali.
Shopping center revenues grew by 9 percent to P5.5 billion, while office leasing improved by 5 percent to P3.1 billion. Furthermore, hotel and resort revenues accelerated by 8% to P2.3 billion.
Service businesses composed of construction, property management, and airline, among others, registered a 42 percent growth to P4.2 billion.
Makati Development Corporation’s net construction revenues reached P2.6 billion, a 75 percent surge on account of additional contracts from external projects.
Property Management, AirSWIFT, and retail electricity supply companies generated revenues of P1.5 billion, a 7 percent increase year-on-year, mainly from higher parking and airline passenger revenues.
Capital expenditures totaled P18.8 billion, wherein 49 percent was spent on residential projects, 30 percent for estate development, 9 percent for land acquisition, 11 percent for commercial leasing projects, and 1 percent for other purposes.