Ayala Land earmarks record P130B for capital spending

Ayala Land Inc. is earmarking an all-time high capital expenditure of P130 billion for this year to finance new projects across the country.

“For capital expenditure, we set P130 billion for 2019,” Ayala Land Inc. president and CEO Bernard Vincent Dy said in a press briefing in Makati City on Friday.

The amount is 18 percent more than last year’s P110.01 billion.

Forty percent of the total will be spent on residential projects.

“Twenty to 25 percent for leasing or commercial project and the balance will be spread for land acquisition, estate development, and others,” Ayala Land chief finance officer Augusto Bengzon said during the same briefing.

The capex program will be sourced from a mix of bond offering and bank debt, he said.

New projects will be mostly in Metro Manila, and the rest in Visayas and Mindanao, Dy said. “The launches are really dependent on market demand.”

Last year, Ayala Land posted a net income of P29.2 billion, up 16 percent on the back of strong local and foreign demand for properties.

Consolidated revenue reached P166.2 billion, up 17 percent, driven by sustained demand for residential products and the healthy performance of its leasing businesses. —VDS, GMA News