Property developer Ayala Land Inc. on Tuesday said its income bounced back strongly in 2022, reaching P18.61 billion and up 52 percent from the previous year’s P12.22 billion.
Consolidated revenues were also up, but at a narrower 19 percent to P126.55 billion from the previous year’s P106.14 billion.
But in the fourth quarter, the company reported income of only P5.27 billion, basically unchanged from last year’s P5.26 billion.
The company reported P104.9 billion in reservation sales for the whole year, 14 percent better than previous as fourth-quarter sales totaled P27.6 billion, 24 percent more year-on-year.
Sales from domestic buyers accounted for 66 percent of the total, complemented by overseas Filipinos and other nationalities, with a 22 percent and 13 percent share, respectively.
Sales from overseas Filipinos and other nationalities surged 59 percent and 39 percent, respectively.
“All major business lines achieved meaningful recovery, a testament to our employees’ hard work and dedication,” Ayala Land president and CEO Bernard Vincent O. Dy said.
“Despite ongoing challenges in the operating environment, we remain positive in our outlook for 2023, and look forward to introducing new offerings that will meet the evolving needs of the market. Our focus on customer satisfaction, operational excellence, and innovation will continue to guide our efforts as we pursue sustained growth,” he said.
Augusto Cesar D. Bengzon, company CFO, said the business is planning a P60 billion fund raising activity his year, of which some P20 billion will be through a bond sale and the rest as loans from the banks.
He said initial discussions with likely bond underwriters are ongoing, with the transaction pushing through around March and the pricing and float in the latter part of April.
Ayala Land plans spending P85 billion in capital expenditures this year, up 17 percent from the previous year’s P72.4 billion.
For this year, residential expenditures dipped to only 39 percent from the previous year’s 50 percent of total capex.
The balance will be for estate development at 16 percent, land acquisition at 23 percent and shopping malls at 8 percent.
Its projects with the most demand last year were Ayala Land Premier’s Ciela at Aera Heights in Carmona, Cavite, Avida’s Serin East Tower 4 in Tagaytay City and Patio Madrigal in Pasay City, Amaia’s Skies Cubao Tower 3 in Quezon City and Alveo’s Astela Towers in Circuit Makati.
Ayala Land launched 10 residential projects worth P31.8 billion in the fourth quarter, bringing the consolidated value to P91.4 billion totaling 30 projects by yearend.
Property development revenues reached P81.2 billion, a 7 percent growth from 2021.
Commercial lot sales led the segment’s advance as revenues surged 75 percent to P14.5 billion on investor demand at Arca South, Nuvali and Broadfield estates.
In commercial leasing, revenues accelerated by 62 percent year-on-year to P33.4 billion with normalized mall rents and foot traffic, the contribution of new office spaces and higher hotel room rates.
With the resurgence in foot traffic and mobility, shopping centers and hotel revenues doubled to P16.1 billion and P6.2 billion, respectively. Revenues from office leasing grew by 13 percent to P11.1 billion with the added contribution from One Ayala East and West Towers.
