Ayala Land net income up 21% in 2017
MANILA, Philippines – Ayala Land Incorporated (ALI), the property development arm of the Ayala Group, saw its bottom line rise on the completion of projects and growth from its leasing segment.
ALI reported a full-year 2017 net income of P25.3 billion in 2017, in a disclosure to the Philippine Stock Exchange (PSE) on Wednesday, February 14.
The figure is up 21% from the P20.9 billion recorded in 2016, as total revenues grew 14% to P142.3 billion.
ALI said property sales grew 13% to P122 billion in 2017 compared to 3% in 2016, adding that it ended the year with P88.8 billion worth of residential, office, and condominium developments.
The company's revenue from leasing, meanwhile, grew by 10% to P31 billion with its new developments.
ALI opened 5 malls last year – Ayala Malls The 30th, Ayala Malls Vertis North, Ayala Malls Cloverleaf, Ayala Malls Marikina, and Ayala Malls Feliz – with a combined gross leasable area (GLA) of 189,000 square meters (sqm), pushing its total mall GLA to 1.8 million sqm.
Revenues from the malls reached P17.7 billion, 10% higher than in 2016.
ALI also completed 6 office buildings with a total GLA of 185,000 sqm in 2017, bringing its total office GLA to 1.02 million sqm as of end-2017. Revenues from office leasing amounted to P6.7 billion, 12% higher than in 2016.
The company added 6 new developments to its hotels and resorts unit, pushing revenue for the segment to P6.6 billion, up 12%.
ALI also launched 3 mixed-use estates with a total area of 275 hectares in 2017. These are Evo City in Kawit, Cavite; Azuela Cove in Lanang, Davao; and Seagrove in Mactan, Cebu.
ALI spent P91.4 billion in capital expenditures in 2017 with 48% of the budget allocated to residential developments, 29% to commercial leasing projects, and the rest for land acquisition and estates. It ended 2017 with a return on equity of 16.1%.
The developer also announced that it will dedicate 450 hectares as "carbon forests" for protection and regeneration in line with its target to achieve carbon neutrality by 2022. – Rappler.com