Ayala Corp. posts record high income of P16.2B

Profits at Ayala Corp., the country's oldest and largest conglomerate, soared to a record high P16.2 billion in 2007 due to robust earnings from all of its units. In a statement, Ayala Corp. said its 2007 net income is a 33-percent improvement from the 2006 level. “We are pleased with the group’s performance in 2007 as each of our major business units sustained a healthy growth trajectory... The much improved business environment over the past two years has also given us the opportunity to unlock values from the investments we initiated over the past decade, especially as market values reached attractive levels for value realization," Ayala Corp. president Fernando Zobel de Ayala said. The firm also announced that it has allocated about P56 billion for capital expenditures this year, to pursue value-enhancing growth initiatives. This is almost double the level of capital expenditure in 2007 and the highest in the past decade. Ayala's major operating units, Ayala Land, Inc., Bank of the Philippine Islands, and Globe Telecom recently reported double-digit growth in net income for 2007. ALI posted a 13-percent growth in net income to P4.4 billion while BPI reported an 11-percent jump in net income to P10 billion. Globe reported a core net income of P13.7 billion, 27-percent higher year-on-year, with consolidated revenues up 11 percent to P63.2 billion. Meanwhile, Utility company Manila Water Inc. reported net income at P2.4 billion, slightly higher than 2006. - GMANews.TV