By James A. Loyola
Alliance Global Group, Inc. (AGI), the investment holding company of tycoon Dr. Andrew Tan, reported a 1.0 percent improvement in net income to P5.4 billion in the first quarter of the year.
In a disclosure to the Philippine Stock Exchange, the firm said higher interest charges and unrealized foreign exchange losses capped the growth in the Group’s profits.
Net income to owners stood at P3.5 billion, down 2 percent from P3.6 billion a year before.
AGI registered consolidated revenues of P35.3 billion in the first quarter this year, growing 5 percent from its year ago level of P33.7 billion.
All of the group’s major subsidiaries delivered a good topline performance led by its real estate arm Megaworld Corporation, liquor subsidiary Emperador, Inc. and quick service restaurants business under Golden Arches Development Corporation (GADC).
Even its gaming and leisure operations under Travellers International Hotel Group, Inc. sustained its quarterly recovery in gaming revenues.
“Our operating performance in the first quarter 2018 remained stable, attributed to the hefty investments we continue to pour into our various businesses as part of our long-term growth strategy,” said AGI President Kingson U. Sian.
He added that, “as a Group, we have spent over P360 billion over the last five years for our domestic and international expansion projects. We have an investment commitment of another R80 billion to fund our capex for this year alone.”
Megaworld, the country’s largest developer of integrated urban townships, reported attributable net income of P3.2 billion in the first quarter, rising by 11 percent year-on-year.
Emperador, the world’s largest brandy company, registered attributable net income of P1.6 billion in the first quarter, up 6 percent from P1.5 billion a year before, buoyed largely by its fast-growing Scotch whisky and Spanish brandy operations.
Travellers International, owner and operator of Resorts World Manila (RWM), recorded steady first quarter EBITDA of P840 million and gross revenues of P5.5 billion versus their respective levels a quarter ago.
GADC, which holds the exclusive franchise to operate restaurants in the Philippines under the “McDonald’s” brand, reported another sharp 23 percent year-on-year growth in net income to P329 million as sales revenues continued to expand.