Financial Highlights


Results of Operation as of 1Q 2021 versus 1Q 2020

Ayala Land posted consolidated revenues of P24.64 billion and net income of P2.78 billion, 13% and 36% lower, respectively, reflecting the ongoing impact of COVID-19 on its operations.

Real Estate revenues, composed of Property Development, Commercial Leasing, and Services revenues, registered at P21.13 billion, a 19% contraction from P26.20 billion mainly on account of higher bookings and construction progress from property development while commercial leasing operations remain restricted.

Capital expenditures amounted to P15.32 billion, equivalent to 17% of the P88 billion full year budget.

The balance sheet remains strong with a net gearing ratio of 0.75:1.


Business Segments

The details of the individual performance of each business segment are discussed as follows:

Property Development. This includes the sale of residential lots and units, office spaces, and commercial and industrial lots, and operations of MCT Bhd, Ayala Land’s consolidated subsidiary based in Malaysia. Revenues from Property Development registered at P14.36 billion, a close figure to the P15.56 billion posted in the first quarter of 2020 and only an 8% dip cushioned by higher bookings and construction progress.


Residential. Revenues from the sale of residential lots and units and MCT BHd’s operations slightly changed year-on-year, closing the quarter at P11.99 billion, 1% lower than P12.12 billion, owing to higher bookings and completion of horizontal projects which offset lower bookings of vertical projects.

AyalaLand Premier (ALP) posted revenues of P4.23 billion, more than double the P2.06 billion in 2020, due to improved bookings of Ayala Greenfield Estates Phase 8B and C in Laguna and higher incremental POC of Park Central North and South Towers in Makati City.

ALVEO recorded revenues of P2.24 billion, a decline of 18% from P2.74 billion owing to lower incremental POC of High Park Tower 2 in Vertis North, Quezon City, Viento Tower One in Cerca Alabang, and lower bookings of Solinea Tower 3 in Cebu.

Avida meanwhile registered revenues of P3.05 billon, a 35% decrease from P4.71 billion, attributed to lower bookings of Avida Towers Sola in Vertis North, Quezon City, Avida Towers Asten and One Antonio in Makati City, and combined lower bookings and POC of Avida Towers Turf in BGC, Taguig and Avida Northdale Settings Alviera in Pampanga.

Amaia reached P1.18 billion in revenues, a 22% reduction from P1.51 billion relating to lower net bookings from Amaia Steps Alabang Delicia. Bellavita recorded revenues of P274.76 million, 66% higher than P165.20 million on account of its projects in Naga, Camarines Sur and Lipa, Batangas.

MCT Bhd recorded a contribution of P1.01 billion, 8% higher than P938.71 million, mainly driven by revenues from its middle-income brand Market Homes.


Office for Sale. Revenues from the sale of office units jumped 69% to P1.56 billion from P921.68 million as a result of bookings from ALVEO’s Park Triangle at BGC and ALP’s One Vertis Plaza at Vertis North.

Commercial and Industrial Lots.Revenues from the sale of commercial and industrial decelerated by 67% to P818.36 million from P2.52 billion on slower take up at Vermosa and Alviera estates.


Sales Reservations. It totaled P28.55 billion, an improved of 15% from P24.72 billion as local demand remained strong despite the quarantine. This translates to an average of P9.52 billion per month or 78% of the 2019 monthly average. This is also a growth of 35% from P21.08 billion in the fourth quarter of 2020, clearly showing signs that the property development business is gaining traction and is well-supported by the market’s strong interest for Ayala Land’s real estate products.

Local and overseas Filipinos accounted for 92% of total sales with the balance of 8% accounted for by other nationalities. Sales from local Filipinos which comprise 78% amounted to P22.28 billion, 31% higher than P17.01 billion in the same period last year while sales from overseas Filipinos which represented 14%, amounted to P3.96 billion, a tepid decline of 1% year-on-year. Meanwhile, sales to other nationalities amounted to P2.31 billion, a 38% drop, primarily as mainland Chinese buyers, which comprise 18% at P0.41 billion, decreased by 73%.

Project Launches. In the first quarter of 2021, Ayala Land was able to launch six (6) projects with a total value of P17.45 billion. ALP’s Lanewood Hills Ph1 in Laguna, ALVEO’s Corvia in Alviera, Pampanga and Hillside Ridge Ph2 in Cavite, Avida Towers Verge 2 in Mandaluyong City, Avida Towers Abreeza 2 in Davao Del Sur, and Avida Village Iloilo Phase 2. The company has budgeted P100 billion-worth of launches in 2021.


Commercial Leasing. This includes the operations of Shopping Centers, Office Buildings and Hotels and Resorts. Total revenues from commercial leasing declined 41% to P5.12 billion from P8.71 billion as operations of malls, hotels and resorts remain restricted.


Shopping Centers. Revenues from shopping centers dropped 58% to P1.96 billion from P4.65 billion on the account of a limited operations, lower rent and low foot traffic. The average occupancy rate for all malls is 83% and 85% for stable malls. Total Malls GLA stands at 2.12 million square meters.

Offices. Revenues from office leasing increased 2% to P2.52 billion from P2.47 billion given the sustained operations of BPO and HQ buildings.The average occupancy rate for all offices is 88% and 91% for stable offices. Total office leasing GLA is at 1.23 million square meters.

Hotels and Resorts. Revenues from hotels and resorts ended 60% lower to P640.40 million from P1.59 billion as hotels continue to experience lower average occupancy and resort operations were restricted since end of March. The average occupancy for all hotels was 45% and 49% for stable hotels. Meanwhile, the average occupancy for all resorts stood at 21% and 19% for stable resorts. Occupancy remains low in the midst of quarantine and flight restrictions due to COVID-19. Hotels and resorts have a total of 4,030 rooms.


Services.This is composed mainly of the Company’s construction business through Makati Development Corporation (MDC), property management, through Ayala Property Management Corporation (APMC), and other companies engaged in power services such as Direct Power Services, Inc. (DPSI), Ecozone Power Management, Inc. (EPMI), and Philippine Integrated Energy Solutions, Inc. (PhilEnergy) and airline for the hotels and resorts business, AirSWIFT. Total revenues amounted to P1.64 billion, 15% lower than P1.93 billion due to lower power consumption of power subsidiary customers and very limited AirSWIFT operations which offset the construction activity ramp up of third-party projects.

Construction. Net construction revenues totaled P951.75 million, a hike of 48% from P644.57 million last year as construction activities of third-party projects ramped up in the first quarter of 2021.

Property Management and Others.APMC, power services companies and AirSWIFT registered combined revenues of P687.08 million, 46% less than P1.28 billion driven by lower power consumption of customers and limited AirSWIFT operations


Equity in Net Earnings of Investees, Interest, Fees, Investment and Other Income

Equity in net earnings of associates and JVs totaled P218.96 million, 19% lower than P271.68 million reflecting the tempered earnings of unconsolidated associates.

Interest income from real estate sales increased 9% to P1.84 billion from P1.69 billion on increased sale of real estate receivables. Meanwhile, interest and investment income amounted to P47.95 million, a 65% drop from P135.95 million, owing to lower interest income from installment sales and lower yield on cash and short-term investments.

Other income (composed of marketing and management fees from joint ventures, among others) increased more than ten-fold to P1.40 billion, recording a P1.3 billion gain from the sale of Ayala Land’s 39.2% economic interest in Qualimed and its hospital buildings. This was sold last February to Healthway Philippines, a subsidiary of Ayala Corporation.



Total expenses dropped by 10%, amounting to P19.31 billion from P21.52 billion, on the account of real estate expenses which decreased by 13% to P13.93 billion from P16.03 billion as a result of limited operations.

General and administrative expenses declined 22% to P1.64 billion from P2.10 billion. This resulted to a GAE ratio of 6.6% and an EBIT margin of 31.6%.

Interest expense, financing and other charges, which includes interest expense related to PFRS 16 (Leases) totaled P3.75 billion, an 11% increase from P3.39 billion. While interest expense from external loans decreased due to a lower average interest rate and debt balance, higher discounting cost related to the sale of accounts receivables, transaction fees related to debt financing, and increased provision for doubtful accounts was incurred. The average cost of debt registered at 4.7%, unchanged since the end of 2020. Of the total debt, 94% is locked-in with fixed rates, while 95% is contracted on a long-term basis.


Capital Expenditures

Capital expenditures reached P15.32 billion in the first quarter of 2021, mainly for residential developments, followed by commercial leasing assets. 59% was spent on residential projects, 12% on commercial projects, 10% for land acquisition, 17% for the development of estates and 2% for other purposes. The full year capex budget is P88 billion.


Financial Condition

The Company’s balance sheet remains strong to ensure financial sustainability during the crisis.

Cash and cash equivalents, including short-term investments and UITF investments classified as FVPL, stood at P17.56 billion resulting in a current ratio of 1.68:1.

Total borrowings registered at P212.79 billion which translated to a debt-to-equity ratio of 0.81:1 and a net debt-to-equity ratio of 0.75:1.

Return on equity was at 4.98% as of March 31, 2021.

Project and Capital Expenditures

End-Mar 2021End-Dec 2020
Current ratio 11.68:11.62:1
Debt-to-equity ratio 20.81:10.81:1
Net debt-to-equity ratio 30.75:10.74:1
Profitability Ratios:
     Return on assets 42.04%1.53%
     Return on equity 54.98%4.03%
Asset to Equity ratio 62.75:12.77:1
Interest Rate Coverage Ratio 73.812.96

1 Current assets / current liabilities
2 Total debt/ consolidated stockholders’ equity (Total debt includes short-term debt, long-term debt and current portion of long-term debt)
3 Net debt/ consolidated stockholders’ equity (Net debt is total debt less cash and cash equivalents, short term investments and financial assets through fvpl)
4 Annualized Total Net income / average total assets
5 Annualized Net income attributable to equity holders of ALI / average total stockholders’ equity attributable to equity holders of ALI
6 Total Assets /Total stockholders’ equity
7 EBITDA/Interest expense

There are no events that will trigger direct or contingent financial obligations that are material to the company, including any default or acceleration of an obligation.

There are no material off-balance sheet transactions, arrangements, obligations (including contingent obligations), and other relationships of the company with unconsolidated entities or other persons created in 2020.