AREIT net income surges 69% in Q3 on asset infusions

AREIT Inc., affiliated with Ayala Land, reported a 69.2% increase in its third-quarter net income to P814.21 million due to higher contributions from its asset infusions last year.

The company's revenues for the quarter grew 69.3% to P1.19 billion, with rental income rising 69.7% to P896.57 million as the largest contributor.

For the first nine months of the year, AREIT's net income climbed 35.8% to P2.4 billion, supported by acquisitions made in 2021.

Year-to-date revenues increased 67.9% to P3.56 billion, with rental income surging 65.4% to P2.64 billion.

As of September, the average occupancy rate of AREIT's portfolio remained high at 97%, while the rental collection rate stood at 98%.

In June, AREIT filed a deed of exchange for the infusion of six Cebu-based office buildings from Ayala Land and is awaiting regulatory approval for this second property-for-share swap within the year.

If approved, this move will raise AREIT's gross leasable area to 673,000 square meters and assets under management to P64 billion, a 113% increase since its public offering.