Property giant Ayala Land Inc. (ALI) said its net income grew 15 percent to P13.1 billion in the first half of the year from the same period in 2023 as
consolidated revenues increased to P84.3 billion on the back of robust property demand and consumer activity.

In a disclosure to the Philippine Stock Exchange (PSE), the firm said property development revenues increased 34 percent to P51.9 billion, driven by higher residential and commercial lot bookings. 

Residential revenues jumped 40 percent to P43.7 billion, and revenues from commercial and industrial lots grew 19 percent to P6.3 billion. 

Meanwhile, office-for-sale revenues registered a 15 percent decline to P1.8 billion as lower incremental percentage of completion of projects offset new bookings.

Residential reservation sales in the first semester increased by 17 percent year-on-year to P68.4 billion, as second-quarter sales grew 15 percent year-on-year to P35 billion, led by the premium and vertical segments. 

Ayala Land’s sales performance for the period translated to a monthly average of P11.4 billion—an acceleration from P9.5 billion in 2023. 

The firm launched projects worth P33.7 billion in the first half, wherein 92 percent were from premium brands and 52 percent were horizontal developments.

Meanwhile, leasing and hospitality revenues increased by 10 percent to P22.1 billion, owing to the higher occupancy of Ayala Malls Manila Bay, the contribution of One Ayala Mall and Offices, Ayala Triangle Tower Two, Seda Manila Bay, and the higher occupancy of Seda Nuvali and Lio. 

Shopping center revenues grew by eight percent to P11.1 billion, while office leasing improved by six percent to P6.1 billion. Furthermore, hotel and resort revenues accelerated by 19 percent to P5 billion.

Service businesses composed of construction, property management, and airlines, among others, registered a 51 percent growth to P8.4 billion. 

Makati Development Corporation’s net construction revenues reached P5.5 billion, double last year’s figure on account of additional contracts from external projects.

AirSWIFT, Property Management, and retail electricity supply companies generated revenues of P2.9 billion, a two percent increase year-on-year, mainly from airline sales and property management fees.

“Ayala Land is hitting its growth targets across all business lines and market segments. Residential sales outperformed expectations. We will continue to pursue our growth trajectory with a keen eye on capital efficiency,” said ALI President and CEO Anna Ma. Margarita Bautista-Dy.

She added that “we are reinventing our assets to deliver elevated and differentiated experiences to our customers, and we will continue to bring compelling and market-shaping residential offerings to Filipino homeowners.”

Capital expenditures totaled P36.5 billion, of which 51 percent were spent on residential projects, 27 percent on estate development, 11 percent on commercial leasing assets, and 11 percent on land acquisition commitments.