MANILA, Philippines – Ayala Corporation, the country’s oldest conglomerate, saw its core net income grow by 18% to P27.7 billion in 2022, mainly due to the economy’s reopening pushing up profits of its banking and real estate businesses.

Including significant one-off items, such as gains from asset sales of Bank of the Philippine Islands (BPI) and Globe and other acquisition-related expenses of other subsidiaries, Ayala’s reported net income was flat at P27.4 billion.

Here’s a summary of the earnings of the conglomerate’s subsidiaries:

• BPI’s net income rose 66% to P39.6 billion on the back of higher interest and non-interest income, lower provisions, and the gain from a property sale. 
• Ayala Land’s net income jumped 52% to P18.6 billion due to stronger commercial lot sales and the doubling of its revenues from commercial leasing and hotels and resorts. 
• Globe’s net income grew 46% to P34.6 billion mainly from higher data service revenues and gains from the partial sale of its data center business and a portion of its tower assets. 
• ACEN, Ayala’s energy company, saw its net income more than double year-on-year to P13.1 billion mainly due to a revaluation gain from its acquisition of Australian renewable energy company UPC Australia, as well as contributions from its new domestic and international plants. 

Ayala’s capital expenditures reached P280.3 billion in 2022, a 24% increase mainly due to investments made by Ayala Land, Globe, and ACEN.

For 2023, Ayala has allocated P264 billion in group capex, of which P19.4 billion will be used for investments.

“Our full year results demonstrate the strength and diversification of our portfolio. If 2022 was marked by revenge spending on the part of consumers, 2023 may well see the resurgence of the economy as a whole. With strengthening macro, our businesses should get back to or exceed pre-pandemic levels in 2023,” Ayala president and chief executive officer Cezar Consing said. – Rappler.com