LISTED Ayala Corp.?s net profit plunged 50 percent in 2008, to P8.1 billion from P16.2 billion the year before, as a result of the financial crisis and lower gains from share sales.

Earnings from operating units dipped to P7.8 billion, while capital gains from share sales fell 63 percent to P2.7 billion from P7.4 billion, the conglomerate told the Philippine Stock Exchange.

Ayala Corp. holds equity in listed firms Ayala Land, Bank of the Philippine Islands, Globe Telecom, and Manila Water Co. Inc.

?While the operating environment is and will continue to be challenging, these conditions also present opportunities,? Ayala Corp. president Fernando Zobel de Ayala said in a statement.

?We continue to explore these and have ensured sufficient liquidity across the group to pursue any compelling opportunity on top of our committed growth targets in the short to medium term.?

Ayala Corp. held P25 billion in cash at the end of 2008, allowing it to explore opportunities from deflating asset prices, the company said.

Still, Zobel said he expected the global crisis to further temper domestic consumption and weaken demand for the products and services offered by its operating units.

?However, we remain optimistic that we can manage through the challenges given the solid business models of each of our operating units, their strong fundamentals and balance sheets, and dominant market positions,? he said.

Ayala Land, Ayala Corp?s real estate unit, earlier reported a 10-percent increase in its net income, to P4.8 billion, as demand for its housing units remained healthy.

But Bank of the Philippine Islands? net profit fell 36 percent?to P6.4 billion?following a P2.8-billion decline in its securities trading income and a P1.3-billion fall in its insurance subsidiaries? non-recurring investment income.

Globe Telecom also reported a drop in its net profit?and by 15 percent to P11.3 billion?as consolidated revenue fell to P62.9 billion from P63.2 billion.

Ayala Corp?s equity earnings from the companies under its AC Capital division declined, offsetting the positive earnings contribution of its water and automotive dealership businesses.

Manila Water reported a net income of P2.8 billion on the back of higher sales volumes?it added 46,765 new customers last year?and improvements in its operating efficiency. Jenniffer B. Austria