Ayala Land, Inc. posted net income of PHP 6.3 billion, an increase in profit of 39% year over year, sustained by “healthy property demand and consumer activity.”

The real estate company’s consolidated revenues increased by 33% to PHP 41.0 billion year over year. Property development revenues increased by 47% to PHP 25.0 billion, “driven by robust residential and commercial lot bookings,” Ayala Land said in a statement.

Ayala Land had a monthly sales average of PHP 11.1 billion for the first quarter, compared to PHP 9.5 billion in the same period last year. The sales were driven by a number of its developments – 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.

The company said it launched four projects in the first quarter valued at PHP 13.7 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. 

‘High Value Market Opportunities’

“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,” Ayala Land President and CEO Anna Ma. Margarita Bautista-Dy said. 

“Anchored on the resiliency of the local property market and consumer activity, we look forward to executing our plans to support our growth aspirations for 2024,” Bautista-Dy added. 

Residential revenues increased by 51% to PHP 21.4 billion, while revenues from commercial and industrial lots jumped 59% to PHP 2.8 billion, the company said. 

Meanwhile, Ayala Land’s office-for-sale revenues decreased 26% to PHP 826 million as the “lower incremental percentage of completion of the projects offset the sales bookings during the quarter,” it noted. Residential reservation sales totaled PHP 33.3 billion, an increase of 20% year over year and 19% sequentially, “led by the strong demand for products in the premium and vertical segments.”

Ayala Land’s capital expenditures totaled P18.8 billion, where 49% was spent on residential projects, 30% on estate development, 9% on land acquisition, 11% on commercial leasing projects, and 1% for other purposes. 

In March, Ayala Land declared dividends of PHP 0.2050 per share to stockholders, equivalent to PHP 3.1 billion. Combined with P2.6 billion in share buybacks as of the end of April, the company said it had effectively returned PHP 5.7 billion in capital to its shareholders, equivalent to 23% of its PHP 24.5 billion net income in 2023.

Ayala Land was formerly the real estate division of Ayala Corporation and was incorporated in June 1988 to focus on the development of its existing real estate assets. The company held its initial public offering in July 1991.