AyalaLand Logistics Holdings Corp’s net income dropped 37.3% to P354 million in the first nine months of 2023
Revenue fell 57% to P1.2 billion as industrial lot sales and warehouse leasing revenues declined
Cold storage revenues increased while commercial leasing revenue remained flat
AyalaLand Logistics Holdings Corp.’s (ALLHC) net income dropped 37.3% to P354 million in the first nine months of 2023 from P565 million year-on-year.
Revenue for the same period fell 57% to P1.2 billion from P2.8 billion in the previous year.
Domestic demand for industrial lots remained strong with sales reservations totaling P1.4 billion, 10% higher than last year’s first nine-month period.
However, the income generated from these sales went down by 31% to P834 million due to the early completion of new projects.
Warehouse rentals brought in P510 million in revenue, 2% less than the previous year as a result of lower occupancy, partly because of upgrades in the company’s ALogis Calamba facility.
ALLHC leased out 51,000 square meters of space to logistics companies. Occupancy is expected to rise in the fourth quarter.
Cold storage revenue jumped by 45%, reaching P129 million from P89 million last year due to the ALogis Artico Mandaue facility in Cebu and more space rented out.
Commercial leasing revenues remained flat at P664 million.
“We remain focused on our strategies and plans to continue building our diversified industrial real estate portfolio. Our commitment to long-term success is evident in our forthcoming project launches and expansions, which will be integral in growing our recurring revenue business and our industry presence,” ALLHC president and CEO Robert Lao said in a statement.
In June, the company introduced a 270-hectare mixed-use development called Pampanga Technopark in Mabalacat, Pampanga. A similar project in Batangas called the Batangas Technopark is also in the offing. Both are industrial townships with facilities such as dry warehouses, cold storage, and public transport terminals.
ALLHC is a subsidiary of Ayala Land, Inc. Subsidiaries include Laguna Technopark, Inc.; Unity Realty Development Corp.; Orion Land, Inc.; Tutuban Properties, Inc.; LCI Commercial Ventures, Inc.; and FLT Prime Insurance Corp.