Premium brands boost ALI profit to P28.2B
Strong sales from its premium brands and demand for its properties outside Metro Manila lifted the 2024 earnings of real estate giant Ayala Land Inc. (ALI) by 15 percent to P28.2 billion.
The Zobel family-led developer said in a regulatory filing on Thursday that its top line likewise swelled by 21 percent to a record P180.7 billion.
Revenues from its property development business surged by 22 percent to P112.9 billion on the back of higher residential and estate lot bookings.
Residential revenues saw a 23-percent uptick to P94.9 billion.
Commercial and industrial lot revenues, meanwhile, shot up by 34 percent to P14.6 billion due to high demand outside Metro Manila.
Take-up for projects in other regions jumped by 14 percent, according to ALI.
Residential sales reservations reached P127.1 billion, up by 12 percent, on strong demand from its premium brands, AyalaLand Premier (ALP) and Alveo Land, as well as horizontal projects and suburban estates.
The high-end residential business’ sales jumped by a quarter to P80.8 billion, making up 64 percent of the company’s overall sales.
A 16-percent increase in horizontal lots and house-and-lot offerings also helped buoy revenues.
At end-2024, ALI launched P80.5 billion worth of residential projects, 64 percent of which were located outside Metro Manila, including ALP’s Enara at Nuvali Heights in Laguna province and Anvaya Seabridge Residences in Bataan.
Hospitality segment
As for ALI’s leasing and hospitality business, this contributed P45.6 billion to the company’s revenues, up by 9 percent, driven by both existing and new assets. These include One Ayala Mall and business process outsourcing towers, Ayala Triangle Gardens Tower Two and Seda Manila Bay.
Shopping center and office leasing revenues each grew by 9 percent to P23 billion and P12.9 billion, respectively.
Hotel and resort revenues also climbed by 11 percent to P9.7 billion.
“We look forward to the year and are excited to bring innovative residential and leasing offerings to our customers, expand our market reach and capture new business opportunities,” ALI president and CEO Anna Ma. Margarita Bautista-Dy said in a statement.
Last month, ALI leasing and hospitality head Mariana Zobel de Ayala announced plans to launch 78,000 square meters of retail space this year, following the double-digit growth in foot traffic in the company’s malls.
This comes amid ALI’s P13-billion push to renovate and “reinvent” some of its legacy malls—Glorietta, Ayala Center Cebu, TriNoma and Greenbelt—as a response to changing consumer behavior.
Dy said during ALI’s analyst briefing on Thursday that they would spend around P95 billion this year, mostly for residential and estate developments, as well as expansion in the leasing and hospitality segments.
ALI CFO Augusto Bengzon confirmed that they would raise up to P75 billion from the debt capital market this year, P25 billion of which is for refinancing maturing loans.
A total of P30 billion will also be used to fund the developer’s capital expenditure, he said.
