Ayala Land (ALI) Q3 2025 earnings summary

Executive summary

• Net income for the first nine months of 2025 reached PHP 21.4 billion, up 1% year-on-year; excluding AirSWIFT, net income would have grown by 2%.

• Revenues declined 3% year-on-year to PHP 119 billion, mainly due to lower service revenues and the absence of airline income; total revenues reached PHP 121.8B, down 3% year-over-year.

• Leasing and hospitality revenues grew 6%, offsetting softer property development and services.

• CapEx for the period was PHP 65.5 billion, with a focus on residential and leasing projects.

• Proceeds from the December 2024 AREIT share sale are being systematically reinvested in major property projects, with disbursements and balances transparently reported and externally verified.

Financial highlights

• Property development revenues were PHP 75.9 billion, down 1% year-on-year; residential revenues at PHP 63.1 billion, narrowing a prior 5% decline.

• Leasing and hospitality revenues rose 6% to PHP 35.1 billion; shopping center revenues up 4%, office up 6%, hospitality up 4%.

• Service business revenues fell 37% to PHP 8.1 billion due to the absence of airline revenues and completed construction contracts.

• EBIT margin held at 37%, three percentage points higher year-on-year.

• Industrial segment revenues surged 39% to PHP 1.2 billion.

Outlook and guidance

• Full-year property development sales take-up outlook is PHP 135-145 billion; launches targeted at PHP 65-68 billion.

• Full-year CapEx targeted at PHP 85-90 billion.

• Expecting stronger Q4, especially in leasing and hospitality, as renovated assets come online.

• Guidance for rent uplift of 15%-20% from mall reinventions by 2026.

• Steady demand for premium property development products, with average monthly reservation sales at PHP 12.4 billion in Q3 2025.