MANILA, Philippines - Property developer Ayala Land Inc. (ALI) reported 28% increase in profit to P4.33 billion in the first half, from P3.38 billion during the same period last year, as its business lines continued to perform strongly.
"We continued to post solid results in the first half of 2012 as we sustained our high growth trajectory," said ALI chief finance officer Jaime E. Ysmael.
ALI's consolidated revenues jumped 18% to P25.02 billion in the first half, from P21.25 billion a year ago.
The bulk of its revenues came from its real estate and hotel business, which grew by 19% to P23.82 billion in the first half. Net income margin improved to 17% in the January to July period from 16% in the same period last year.
"Across the board, we have been consistent in growing revenues and improving margins. Our first half average monthly sales take-up for residential products was again a new record, and our commercial Leasing and Hotels and Resorts businesses continue to perform very well. We are progressing very well on our 5-10-15 plan and are on track to achieving our targets for the year," Ysmael said.
The "5-10-15" plan refers to it's plan to achieve within 5 years P10 billion in after-tax income and a return on equity of 15%.
Property development, which includes sales of residential units, commercial and industrial lots, posted revenues of P15.31 billion in the first 6 months of 2012, 24% higher than the previous year.
Revenues from the residential segment reached P13.95 billion in the first half, driven by 57% growth in value of bookings in residential brands such as Ayala Land Premier, Alveo and Amaia. The sales take-up value hit P39.08 billion, as the four brands launched 9,205 units in the first half.
ALI's commercial leasing, which includes shopping center and office leasing operations, reported 21% higher revenues to P4.23 billion.
The hotels and resorts business also saw 15% higher revenues to P1.27 billion in the January to June period.
Services, which include construction and property management, posted combined revenues of P9.35 billion during the first six months of the year, 47% up from the same period last year.