Makati—(PHStocks)—Ayala Land Inc. (PSE: ALI) reported a net income of PhP17.6 billion in 2015, growing by 19% from PhP14.8 billion in 2014. Consolidated revenues reached PhP107.2 billion, 13% higher than the PhP95.2 billion it posted in the previous year. The growth was attributed to the sustained performance of the company’s property development and leasing businesses, and improved margins across its product lines.
“We are pleased with the company’s performance in 2015,” said Bernard Vincent Dy, ALI President and CEO. “Our established and emerging estates provided the backbone for our sustained growth while we continue to introduce new estates that will further contribute to it in the coming years.”
A diverse offering of residential and commercial products is on the rise in ALI’s master planned estates all over the Philippines and has amplified its presence in key growth centers of the country. The company introduced three new integrated mixed-use estates in 2015. These are the 11-hectare Cloverleaf in Quezon City, the nine-hectare Capitol Central in Bacolod, and the 700-hectare Vermosa in Cavite.
Revenues from property development, which includes the sale of residential lots and units, office spaces, as well as commercial and industrial lots, amounted to PhP67.9 billion in 2015, 10% higher than the PhP61.8 billion reported in 2014.
Revenues from the sale of residential lots and units reached PhP58.4 billion, 12% higher than the PhP52.3 billion posted in 2014, driven by bookings and project completions across the company’s residential brands namely Ayala Land Premier, Alveo, Avida, Amaia, and BellaVita. In addition, reservation sales reached a total of PhP105.3 billion.
Meanwhile, ALI’s revenues from commercial leasing amounted to PhP24.5 billion in 2015, 16% higher than the PhP21.2 billion recorded in the previous year.
The ratio of General and Administrative Expenses (GAE) to revenues improved further to 6.2% from 6.5% as a result of efficient cost management measures while the earnings before interest and taxes (EBIT) margin registered higher at 29% from 27% in 2014.
ALI’s capital expenditures reached PhP82.2 billion in 2015. It has a projected capex budget of PhP85.0 billion for 2016 to support its planned developments, including new estates.
“The company continues to adopt a positive view of the property market given the strong economic fundamentals of the country. This year, we will remain focused on introducing new projects that will address market demand and continue to work on achieving our growth targets in line with the objectives set in our 2020 plan,” Dy said.