Ayala Land Inc. · PSE:ALI
Ayala Land — Q1 2005 Earnings Presentation
20 slides from Ayala Land's earnings presentation, Apr 29, 2005
Slide 1: Ayala Land, Inc. 1Q 2005 Unaudited Results Analysts' Briefing
Ayala Land, Inc. 1Q 2005 Unaudited Results Analysts' Briefing April 29, 2005
Slide 2: 1Q 2005 Business Highlights
1Q 2005 Business Highlights Development ¾ Booked sales of 754 lots/units (up 11%) valued at P2.4B (up 9%) ¾ Launched Sonera (88 lots) and Verdana Homes Mamplasan housing (36 units) ¾ Signed development agreements with Sudeco (Anvaya Cove) and Manila Jockey Club (6.5-ha. property in Manila) Leasi
Slide 3: Income Statement
Income Statement YTD-March 31 Increase/(Decrease) (in million Pesos) 2005 2004 Amount % REVENUES 6,915 3,686 3,230 88% COSTS AND EXPENSES 5,682 3,155 2,527 80% NET INCOME BEFORE MINORITY INT 1,233 530 703 133% NET EARNINGS APPLICABLE TO MIN INT 72 34 37 108% NET INCOME 1,162 496* 666 134% • Signific
Slide 4: Revenues
Revenues YTD-March 31 Increase/(Decrease) (in million Pesos) 2005 2004 Amount % LEASING 1,494 1,326 167 13% Shopping Center & Office 1,096 947 149 16% Hotels 398 380 18 5% DEVELOPMENT 1,947 1,738 209 12% Land Sales 680 604 76 13% High-End Residential Unit Sales 483 457 26 6% Mass Housing 403 474 (71
Slide 5: Revenue Breakdown
Revenue Breakdown P6.9 billion Shopping Center & Office 16% Interest & Other Income Hotels 39% Leasing 6% Land Sales Development 10% Services High-End Residential Others Unit Sales 7% Services Mass Housing 11% 6% Middle-Income Residentials 5% • Development business contributed 28% of revenues • Leas
Slide 6: Cost & Expenses
Cost & Expenses YTD-March 31 Increase/(Decrease) (in million Pesos) 2005 2004 Amount % COSTS AND EXPENSES 5,682 3,155 2,527 80% Leasing 676 594 82 14% Development 1,627 1,348 279 21% Services 492 299 193 64% General and Admin. Exp. 558 430 128 30% Interest and Other Charges 2,175 235 1,940 825% Prov
Slide 7: NOI Margins
NOI Margins 1Q 2005 1Q 2004 Leasing 55% 55% Development 16% 22% Services 34% 39% Steady leasing margin ¾ Lower shopping center margin due to depreciation and direct operating expenses of recently- opened Market! Market! ¾ Off set by higher hotel margin due to higher room rates Decline in develop
Slide 8: Shopping Centers & Office
Shopping Centers & Office 1Q 2005 1Q 2004 % Change Growth mainly due to retail operation P 1,096 M P 945 M 16% ¾ 11% increase in retail sales due to additional GLA Shopping Centers Occupancy Rent Opening of Market! Market! and completion of SM Expansion Ayala Center 96% 1,150 Market! Market! 70%
Slide 9: Hotels
Hotels Higher room rates across all 1Q 2005 1Q 2004 % Change Company-owned hotels and P 398 M P 380 M 5% serviced apartments Marked improvement in Oakwood’s occupancy rate 1Q Occupancy 1Q Room Rate REVPAR 2005 2004 2005 2004 2005 2004 Oakwood 88% 82% 5,543 5,035 4,878 4,129 Intercon 78% 77% 3,51
Slide 10: Land Sales
Land Sales 1Q 2005 1Q 2004 % Change 159 lots booked in 1Q05, P 680 M P 604 M 13% up 38% from 115 lots in 1Q04 Higher bookings at Greenfield Estates, Westgrove Heights and Residential Launched Units Take-up Northpoint Westgrove Heights 1,612 90% Greenfield Estates 574 87% ¾ Partly off set by abse
Slide 11: High-end Residential Unit Sales
High-end Residential Unit Sales Increase due to additional sales 1Q 2005 1Q 2004 % Change and revenue recognition on prior years’ sales at The Residences P 483 M P 457 M 6% at Greenbelt, One Legazpi Park, and Serendra 40 units booked in 1Q05, lower Residential Launched Units Take-up Completion t
Slide 12: Mass Housing
Mass Housing 1Q 2005 1Q 2004 % Change Decline in revenues due to: P 403 M P 474 M -15% ¾ 6% decline in bookings to 400 units from 424 in 1Q04 Launched Units Take-up Completion ¾ Adoption of a more St. Alexandra Estates 147 39% conservative booking policy St. Gabriel Heights 515 51% ¾ Booking of lo
Slide 13: Middle-Income Residentials
Middle-Income Residentials 1Q 2005 1Q 2004 % Change Higher unit bookings (155 in P 381 M P 203 M 88% 1Q05 vs. 63 in 1Q04) due to Serendra and Verdana Mamplasan Launched Units Take-up Completion The Columns Additional sales and incremental Tower 1 284 99% 89% building completion at The Tower 2 28
Slide 14: Services
Services 1Q 2005 1Q 2004 % Change Construction P 540 M P 325 M Property Management 19 M 5M Waterworks 54 M 50 M Mgt. & Mktg. Fees 70 M 45 M Financing 60 M 69 M Total P 743 M P 494 M 50% Increase mainly due to 66% growth in construction revenues from third-party contracts ¾ Higher revenues from MDC
Slide 15: Interest & Other Income
Interest & Other Income 1Q 2005 1Q 2004 % Change P 2,732 M P 127 M 2,055% Significant increase due to the gain on sale of AIVI preferred shares of P2.6B (before capital gains tax and transaction costs) Partly due to higher interest income on placements
Slide 16: Balance Sheet
Balance Sheet March 31 December 31 Inc/(Dec) (in million Pesos) Amt. % 2005 2004 Cash and Cash Equivalents 4,625 6,360 (1,735) (27%) Total Current Assets 23,934 20,860 3,074 15% Total Assets 73,650 74,029 (379) (1%) Total Current Liabilities 12,392 12,189 203 2% Total Debt 12,947 13,437 (490) (4%) T
Slide 17: Cash Flow
Cash Flow March 31 Increase/(Decrease) (in million Pesos) 2005 2004 Amount % Net Cash Provided by Operating Activities 218 (32) 250 781% Net Cash Used in Investing Activities (128) (500) (372) (74%) Net Cash Provided by (Used in) Financing Activities (1,825) (315) 1,510 479% NET INC. (DEC.) IN CASH
Slide 18: Projects and Capital Expenditures
Projects and Capital Expenditures Consolidated 1Q 2005 Spent P1.5B or 11% of the P13.6B budget Residential Bldgs./ Townhouses 46% Residential Subdivisions 2005 Budget P13.6B budget up 68% 23% Commercial over 2004 actual Centers/ Office/etc. Equity 31% Investments Residential Bldgs./ 3% Townhouse
Slide 19: New Projects
New Projects Leasing ¾ North Triangle Commercial Center (200,000 sqm GLA) groundbreaking in May 2005; to be completed by mid-2007 ¾ Market! Market! Phase 1B (34,000 sqm GLA) to be completed by 4Q05 ¾ PeopleSupport Center (15,800 sqms office, 1,300 sqms retail) completed in April ¾ Convergys Center
Slide 20: Ayala Land, Inc.
Ma Ayala Land, Inc.