Ayala Land posts 19% profit decline in first half of 2026

Ayala Land Inc. (ALI) saw its net income fall 19% to ₱11.5 billion in the first half of 2026 from ₱14.2 billion a year earlier, as revenues declined amid a challenging economic environment.

According to ALI's disclosure to the Philippine Stock Exchange, first-half revenues dropped 9.75% to ₱75 billion from ₱83.1 billion in the same period last year.

In the second quarter alone, ALI posted a net income of ₱6.1 billion on revenues of ₱37.5 billion.

The company said its property development business generated ₱41 billion in revenues in the first half, including ₱20.6 billion in the second quarter.

Total sales reservations for the six-month period stood at ₱53.5 billion.

ALI said it remains on track with deliveries across 40 projects, with nearly 6,000 residential units turned over to date.

Meanwhile, the company's leasing and hospitality businesses posted first-half revenues of ₱25.2 billion, up 9% year-on-year.

Shopping center revenues rose 4% to ₱12 billion, while hospitality revenues jumped 28% to ₱6.3 billion.

The office segment generated ₱6 billion in revenues, supported by healthy, above-industry occupancy rates and contracted rent escalations from existing leases.

Industrial real estate revenues grew 15% to ₱879 million, driven by solid occupancy across dry warehouse and cold storage facilities.

ALI also said it remains committed to growing AREIT Inc., the country's first publicly listed real estate investment trust.

The company's board of directors approved the infusion of four malls and three hotels into AREIT with an aggregate value of ₱20 billion.

The infusion is expected to increase AREIT's assets under management to ₱179 billion and further diversify its portfolio across malls, offices, hotels and industrial land. — MCG, GMA News