Ayala Land, Inc. (ALI) reported robust first-quarter performance for 2025, delivering a 10% year-on-year surge in net income to P6.9 billion. This growth was underpinned by a 6% increase in consolidated revenues, reaching P43.6 billion, fueled by strong property development bookings and resilient leasing operations.
Property Development Drives Growth
ALI’s property development arm experienced significant expansion, with revenues climbing 11% to P27.8 billion. This was propelled by strong contributions from both Premium residential offerings and Commercial and Industrial lot sales.
Residential revenues saw a 3% increase to P22.0 billion, primarily driven by the consistent strength of the Premium segment.
Commercial and industrial lot revenues more than doubled to P5.7 billion, largely due to robust sales in Arca South, Taguig City.
Property development reservation sales also showed positive momentum, growing by 4% year-on-year to P36.2 billion. This growth was spearheaded by:
A 4% rise in Premium residential sales, reaching P20.7 billion.
An impressive more than threefold increase in take-up for Commercial and Industrial lots, reaching P4.9 billion.
The resilience of these segments effectively offset a contraction in the Core residential segment, which contributed P10.5 billion in sales. During the quarter, ALI launched four new projects with a total value of P12.6 billion. Notably, all these projects are located outside Metro Manila, with 90% falling under the Premium segment. Key launches include AyalaLand Premier’s Virendo in Toril, Davao, and the next phases of Ayala Westgrove Heights and Amaia Scapes Gen. Trias, both in Cavite.
Leasing and Hospitality Remain Strong
Strategic reinventions across ALI’s flagship malls and hospitality assets are yielding positive results. Leasing revenues grew by 7% to P11.6 billion compared to the previous year, supported by stable occupancy rates and lease escalations.
Shopping Center revenues increased by 4% to P5.7 billion, driven by the growing contributions of both established and emerging malls.
Office revenues also saw a 4% year-on-year increase to P2.9 billion, benefiting from lease escalations and sustained occupancy levels that outperformed industry averages.
Revenues from hotels and resorts expanded by 10% to P2.6 billion, fueled by improving occupancy rates and room rates, despite temporary closures for renovations.
Furthermore, ALI’s emerging Industrial Real Estate portfolio (warehouses, cold storage, and industrial land) delivered significant growth, with revenues reaching P357 million, a 60% increase compared to the first quarter of 2024. This growth was primarily driven by AREIT’s industrial land holdings and newly operational cold storage facilities.
“As we close the first quarter of 2025, I am pleased to share that Ayala Land remains firmly on track—guided by discipline, resilience, and long-term perspective—even as we navigate today’s complex macroeconomic landscape,” stated Ms. Anna Ma. Margarita Bautista-Dy, ALI President and CEO. “We are energized with what lies ahead and continue to deliver sustainable long-term value for all our stakeholders.”
Capital Expenditure, Financial Position, and Shareholder Returns
Ayala Land’s first-quarter capital expenditures totaled P20.6 billion, strategically allocated with 46% towards the build-out of residential projects, 30% for prime and developing infrastructure within its estates, 16% for leasing and hospitality assets, and 9% for ongoing land acquisition commitments.
The company maintains a solid financial position with a healthy net gearing ratio of 0.75:1 and an interest coverage ratio of 5.2x.
Demonstrating its commitment to shareholder value, Ayala Land disbursed first-half cash dividends of P4.2 billion or P0.2888 per share in March 2025. Combined with its active share buyback program, ALI has returned a total of P8.0 billion of capital to shareholders, representing 28% of the previous year’s net income.
