MANILA, Philippines - Strong revenues from its property businesses helped Ayala Land Inc.'s (ALI) first quarter profits grow 31% to P2.13 billion from P1.62 billion during the same period last year.
ALI's consolidated revenues for the first quarter hit P12.39 billion, 17% higher compared with P10.59 billion from a year ago. The bulk came from revenues of its real estate and hotel businesses, which rose 18% to P11.77 billion.
"Demand remains high and our sales take-up for residential products was again a new record for quarterly sales, and our commercial leasing business continues to perform very well. This keeps us well on track to achieving our targets for the year under our 5-10-15 plan," said ALI chief finance officer Jaime E. Ysmael.
Property development posted P7.51 billion in revenues in the first 3 months of 2012, 18% higher than the previous year. This includes sale of residential lots and units, and commercial and industrial lots.
Revenues from the residential segment increased by 21% to P7.01 billion in the first three months, as the value of bookings across the residential brands (Ayala Land Premier, Alveo, Avida, and Amaia) grew by 48%.
Sales take-up value in the first quarter reached P19.3 billion, equivalent to an average monthly sales take-up of P6.44 billion. ALI said this was 49% higher than the record P4.31 billion average monthly sales take-up achieved for 2011.
In the January to March period, Ayala Land Premier, Alveo, Avida and Amaia launched a total of 2,693 units, with a total sales value of P11.3 billion.
However, ALI saw an 11% drop in revenues from the sale of commercial and industrial lots to P499 million. This was mainly because of lower commercial lot sales in NUVALI compared to last year.
The company's commercial leasing operations, which includes its shopping center and offices, posted P2.04 billion in revenues in the first quarter, 21% higher than the previous year.
ALI said revenues from its hotels and resorts business rose by 16% to P650 million, due to better occupancy rates. Construction is on-going at the first 4 owner-operated urban lifestyle hotels called Kukun in Bonifacio Global City, Davao, Cagayan de Oro and NUVALI.
Services, which include its construction and property management businesses, generated 58% higher revenues in the first quarter to P4.25 billion.