AYALALAND Logistics Holdings Corp. reported a 19% increase in net income to P197 million in the first quarter of 2022, a year when it aims to boost its business performance.

“Our growth plans are geared to enable AyalaLand Logistics to seize opportunities in the new economy. With the competitive advantage from our solid portfolio of diversified product offerings, and our optimistic view on the economy’s reopening, we look forward to enhancing our business performance in 2022,” said Marla Rowena M. Tomeldan, the company’s outgoing president and chief executive, said in a disclosure on Monday.

The logistics firm, a subsidiary of Ayala Land, Inc., reported consolidated revenues of P864 million, without giving a comparative number. It previously reported quarterly gross revenues of P963.51 billion a year ago.

In the first quarter of this year, warehouse leasing revenues rose by 54% to P191 million from P123 million given improved occupancy and increased leased areas.

Meanwhile, industrial lot sales decreased by 18% to P316 million, due to unbooked reserved lots.

“Commercial leasing is gradually recovering with retail stores reopening and an increase in total customer foot traffic by 32% versus the same period last year,” the company said.

In February, AyalaLand Logistics acquired an existing ready-built facility in St. Tomas, Batangas, adding 64,000 square meters (sq.m.) of leasable warehouse space to its portfolio. The acquisition brought to 288,000 sq.m. its warehouse gross leasable area (GLA) across six locations.

The company is targeting to reach 500,000 sq.m. of GLA by 2025 and expects to double its cold storage capacity to 15,000 pallet positions by 2023.

On April 2, stockholders approved the increase in the company’s authorized capital stock of up to P10 billion, through the creation of P5 billion nonvoting preferred shares with a par value of P1 per share and the increase of P5 billion common shares with a par value of P1 per share. 

The increase in capital stock will be used as a funding source for expansion projects and growth plans, according to the company.

“All growth efforts are in line with the company’s vision to be leading real estate logistics and industrial estate developer in the Philippines,” it added.

The company has interests in real estate and property development of industrial parks, commercial centers, leasing of warehouses, and providing logistics facilities, through the following subsidiaries: Laguna Technopark, Inc.; Unity Realty & Development Corp.; LCI Commercial Ventures, Inc.; Ecozone Power Management, Inc.; Orion Land, Inc., Tutuban Properties, Inc., and Orion Property Development, Inc.

Orion Land wholly owns Tutuban Properties, which holds the lease and development rights over Tutuban Center in Manila’s downtown Divisoria.

In 2016, it entered into a deed of subscription where Ayala Land subscribed to 51.06% equity interest in the company.

At the stock exchange on Monday, AyalaLand Logistics shares were down by 4.24% or 19 centavos to close at P4.29 each. — Luisa Maria Jacinta C. Jocson