Ayala Corporation (Ayala) today announced that its core net income, which excludes one-off items, saw a modest 2% year-on-year decrease to ₱23.7 billion for the first half of 2025. This result, however, marks a significant improvement from the 4% decline reported in the first quarter, signaling a positive turnaround driven by strong performances from key businesses.
Key Financial Highlights
The company’s performance was bolstered by solid contributions from its banking and real estate arms.
- Bank of the Philippine Islands (BPI): BPI’s net income grew by 8% to ₱33.0 billion, fueled by robust loan growth and expanding net interest margins. The bank’s Return on Equity stood at a healthy 14.9%.
- Ayala Land: Ayala Land’s net income also rose by 8% to ₱14.2 billion. This was supported by steady property development revenues and strong results from its leasing and hospitality segments.
Conversely, some of Ayala’s other businesses faced headwinds during the period.
- Globe Telecom (Globe): Globe’s core net income fell by 11% to ₱10.4 billion. The decline was primarily due to lower gross service revenues and higher depreciation and interest expenses.
- AC Energy & Infrastructure Corporation (ACEIC): ACEIC reported a 39% decrease in core net income to ₱4.1 billion. This was a result of reduced contributions from its subsidiary, ACEN, which saw its core net income decline by 24% to ₱3.5 billion. The decrease for ACEN was attributed to lower revenues from damaged wind farms, weak local spot market prices, and other operational factors.
Stronger Second Quarter Performance
The second quarter of 2025 was a highlight for Ayala, with core net income reaching ₱12.4 billion, a 9% sequential improvement. This was driven by better earnings from ACEIC, ACMobility, and Globe, indicating a potential positive trend for the second half of the year.
“While our telco and energy businesses have some catching up to do, our full-year targets remain achievable,” said Ayala President and CEO Cezar P. Consing. “We are also encouraged to see our portfolio businesses showing better numbers. The recently announced investment in AC Health by Singapore’s ABC Impact demonstrates our ability to bring in strategic partners to help scale our businesses.”
Including one-off items, Ayala’s net income for the first half of the year increased by 5% to ₱23.4 billion, a positive outcome attributed to lower impairments compared to the same period last year.
