AyalaLand Logistics Holdings Corp. (ALLHC) announced a dramatic decline in its first-quarter earnings, reporting a net income of just P5 million. This figure marks a 92% drop from the P66 million reported during the same period last year.
The company attributed this downturn primarily to reduced lot sales and increased depreciation and financing costs.
Consolidated revenues also fell significantly, decreasing to P725 million from P868 million a year prior. A 58% decline in industrial lot sales was a major contributor to this decrease.
Sales Reservations Show Growth Despite Challenges
Despite the downturn in earnings, ALLHC experienced a 46% increase in sales reservations, reaching P517 million. This suggests that buyer interest remains strong, even in a cautious market.
Leasing revenues, on the other hand, saw positive growth, rising by 19% to P551 million due to improved occupancy rates across logistics assets and recently acquired properties.
Warehouse leasing revenues grew by 7% to P202 million, while cold storage revenues surged by 157% to P118 million, driven by higher utilization.
Our results reflect the challenges in the current market but also highlight our strategic strengths in leasing,
ALLHC Management