TAN-LED holding company Alliance Global Group, Inc. (AGI) said it saw a 21% increase in its attributable net profit to P19.6 billion last year, driven by better performances across its businesses.
Consolidated revenues reached “an unprecedented level” of P211.2 billion in 2023, up by 15% from P183.6 billion in 2022, AGI said in a stock exchange disclosure on Tuesday.
“2023 was a historic year for the group as it delivered excellent performance across all of its businesses, led by its real estate, tourism, and consumer segments,” AGI Chief Executive Officer Kevin L. Tan said.
“This was achieved even amid heightened competition in the domestic and global market, various macro challenges in some key markets, rising cost pressures and higher interest rates,” he added.
AGI’s real estate arm Megaworld Corp. saw a 29% increase in its attributable net income to P17.3 billion as revenues jumped by 17% to P69.7 billion.
The revenue growth was driven by the “16% year-on-year growth in real estate sales, the sharp recovery in the revenues of Megaworld Lifestyle Malls by 54% and Megaworld Hotels by 46%, in addition to the 3% rise in rentals of Megaworld Premier Offices,” AGI said.
Newport World Resorts owner and operator Travellers International Hotel Group, Inc. recorded an 89% jump in net income to P2 billion, while net revenues increased by 19% to P31.9 billion.
“This was driven by the resurgence in tourism and meetings, incentives, conferences, and exhibition activities, which allowed for a stellar 40% year-on-year increase in hotel and other revenues to P7.4 billion, while its gross gaming revenues went up by 7% to a new high of P34.2 billion,” AGI said.
Brandy and whiskey manufacturer Emperador, Inc. posted a 10.5% decline in its net income to P8.64 billion due to the weaker performance of its brandy business.
The company saw a 5% increase in its consolidated revenue to P65.6 billion.
“This was driven by the sustained improvement in international whisky sales as Whyte & Mackay’s single malt brands The Dalmore, Fettercairn, Jura, and Tamnavulin continue to make significant inroads in major markets like Asia, North America, and travel retail,” AGI said.
Golden Arches Development Corp., the master franchise holder of fast food giant McDonald’s in the Phillippines, logged a 39% growth in attributable profit to P2.5 billion in 2023 from P1.8 billion a year ago.
The company’s sales revenue rose by 24% to P42.8 billion in 2023 from P34.4 billion in 2022. It has 740 stores nationwide as of end-2023.
“For 2024, we look forward to the much-anticipated policy rate cuts as inflation begins to ease, improving the economic and business environment with the resurgence in consumer spending, as well as demand for housing, tourism and staycation activities. Armed with our superior product offerings, AGI is well-positioned to take advantage of these enormous opportunities as they unfold,” Mr. Tan said.
On Tuesday, AGI shares dropped by 0.42% or four centavos to P9.50 apiece. Megaworld stocks fell by 2.25% or four centavos to P1.74 per share. Emperador shares rose by 0.11% or two centavos to P18.18 each. — Revin Mikhael D. Ochave
