Ayala Land: More Filipinos buying premium units | ABS-CBN
ADVERTISEMENT
Welcome, Kapamilya! We use cookies to improve your browsing experience. Continuing to use this site means you agree to our use of cookies. Tell me more!
Ayala Land: More Filipinos buying premium units
MANILA -- Property developer Ayala Land is sticking mostly with the premium or high-end segment following the results of its first half earnings.
MANILA -- Property developer Ayala Land is sticking mostly with the premium or high-end segment following the results of its first half earnings.
The company announced it hit P13.1 billion net income in the first half and P84.3 billion revenues— among its highest first half results.
The company announced it hit P13.1 billion net income in the first half and P84.3 billion revenues— among its highest first half results.
Ayala Land President and CEO Anna Margarita Dy said the company will continue with its strategy to focus more on the premium market rather than the core market. Premium refers to the high income segment, while core is usually the middle income market.
Ayala Land President and CEO Anna Margarita Dy said the company will continue with its strategy to focus more on the premium market rather than the core market. Premium refers to the high income segment, while core is usually the middle income market.
“The Filipino is continuously becoming more affluent. When we take a look at the buyers, we actually have a fair amount of first time buyers in our premium segment which tells us the pool, our buyer pool is expanding,” Dy said.
“The Filipino is continuously becoming more affluent. When we take a look at the buyers, we actually have a fair amount of first time buyers in our premium segment which tells us the pool, our buyer pool is expanding,” Dy said.
ADVERTISEMENT
Ayala Land’s first half sales registered P68.4 billion. Of that number, the premium projects share is P41.8 billion, up 23% from the same period last year. While the core projects’ sales hit P26.5 billion, up 9%. Dy said that because of growth for both segments, they will still keep the core business.
Ayala Land’s first half sales registered P68.4 billion. Of that number, the premium projects share is P41.8 billion, up 23% from the same period last year. While the core projects’ sales hit P26.5 billion, up 9%. Dy said that because of growth for both segments, they will still keep the core business.
The growth of the premium segment also coincides with the government’s target to hit upper middle income status by the end of next year. One of the key criteria for this, government officials have said, is the rise of income among Filipinos. And Dy said more people are also going into business helping them achieve financial growth.
The growth of the premium segment also coincides with the government’s target to hit upper middle income status by the end of next year. One of the key criteria for this, government officials have said, is the rise of income among Filipinos. And Dy said more people are also going into business helping them achieve financial growth.
“Maraming entrepreneurs. A lot of our buyers are actually business owners. I think it’s a testament to the strength of the SMEs in the country which continues to grow, in fact much faster than GDP,” Dy added.
“Maraming entrepreneurs. A lot of our buyers are actually business owners. I think it’s a testament to the strength of the SMEs in the country which continues to grow, in fact much faster than GDP,” Dy added.
Dy is also not worried with the ban on Philippine Offshore Gaming Operations or POGO. She said the company has limited exposure to POGO— only 1 percent of its office space and less than 5 percent of its residential units are POGO or possible POGO workers.
Dy is also not worried with the ban on Philippine Offshore Gaming Operations or POGO. She said the company has limited exposure to POGO— only 1 percent of its office space and less than 5 percent of its residential units are POGO or possible POGO workers.
Ayala Land’s capital expenditure this year is around P88 billion which is the highest since the pandemic. It plans to launch new residential projects and expand its mall and hotel businesses.
Ayala Land’s capital expenditure this year is around P88 billion which is the highest since the pandemic. It plans to launch new residential projects and expand its mall and hotel businesses.
ADVERTISEMENT
“We ended last year with 11,300 hectares of land bank and we do think that we will be utilizing around about average 800 hectares a year, so over the next 5 years, that’s 4,000 hectares,” said Augusto Bengzon, Ayala Land’s Chief Finance Officer.
“We ended last year with 11,300 hectares of land bank and we do think that we will be utilizing around about average 800 hectares a year, so over the next 5 years, that’s 4,000 hectares,” said Augusto Bengzon, Ayala Land’s Chief Finance Officer.
Ayala Malls President Mariana Zobel de Ayala added that their hotel business is also growing due to the rising tourism sector. She said, “A commitment for another 4,000 rooms over the next 5 years. We actually have about 900 rooms in the pipeline right now under construction.”
Ayala Malls President Mariana Zobel de Ayala added that their hotel business is also growing due to the rising tourism sector. She said, “A commitment for another 4,000 rooms over the next 5 years. We actually have about 900 rooms in the pipeline right now under construction.”
In the pipeline, Ayala Land has a total of 194,000 GLA (gross leasable area) of malls soon to open, 297,000 GLA of office space, and 920 more hotel rooms to be opened in the near future.
In the pipeline, Ayala Land has a total of 194,000 GLA (gross leasable area) of malls soon to open, 297,000 GLA of office space, and 920 more hotel rooms to be opened in the near future.
ADVERTISEMENT
ADVERTISEMENT
