AGI income rises to P5.2 billion as property, hospitality drive growth

ANDREW L. TAN-LED conglomerate Alliance Global Group, Inc. (AGI) posted a 5% rise in first-quarter (Q1) attributable net income to P5.2 billion, driven by growth in its property, hospitality, leasing, and spirits businesses.

In a statement on Thursday, the company said January-to-March net income stood at P7.8 billion, up 6% from the normalized P7.4 billion recorded a year earlier, excluding one-time gains and the impact of Golden Arches Development Corp.’s (GADC) deconsolidation in March 2025.

Consolidated revenues rose 1% to P42.2 billion from the normalized P42 billion recorded in the same period last year.

“AGI had an optimistic start; first-quarter results reflected healthy residential sales, strong leasing revenues, sustained improvement in the hospitality business, and the nascent recovery in spirits sales. These businesses continued to perform well even against a demanding macroeconomic and geopolitical backdrop,” AGI President and Chief Executive Officer Kevin L. Tan said.

“Our first quarter performance is supported by ongoing cost discipline, embedded in our operations. This allowed our Group to gain operating leverage, while we continue to implement our aggressive business strategies. Overall, we have maintained our financial prudence, which helps us stay on course even in this challenging environment,” he added.

On the property business, Megaworld Corp. saw a 4% increase in attributable net income to P5.3 billion as revenue climbed by 3% to P21.6 billion.

Real estate sales reached P13.3 billion, up 15%, driven mainly by construction progress in Metro Manila projects.

The office segment through Megaworld Premier Offices saw a 4% increase in office rental income supported by new leases and contract renewals.

The malls business led by Megaworld Lifestyle Malls saw revenues climb 9% to P1.8 billion, supported by higher tenant sales, improved occupancy, and stronger foot traffic.

Revenues from Megaworld Hotels & Resorts also increased 8% to P1.5 billion on the back of expanding operations and growing meetings, incentives, conferences, and exhibitions (MICE) activity.

The liquor manufacturing segment led by Emperador, Inc. posted attributable net income of P1.9 billion and consolidated revenues of P13.4 billion, driven by a favorable product mix and ongoing cost management, with brandy and whisky sales growing 6% year on year.

“The brandy segment continued to gain momentum, enjoying higher sales due to encouraging consumer shifts despite the soft domestic liquor market. Whisky sales have shown gradual, steady improvement as the Group continues to navigate ongoing challenges in the international spirits market,” AGI said.

On the leisure and tourism segment, Travellers International, operator of Newport World Resorts, posted net revenues of P7 billion and gross revenues of P8.6 billion during the quarter.

Gross gaming revenue reached P6.6 billion, with gains in the mass segment offsetting weakness in VIP gaming. Non-gaming revenues rose 10% year on year to P2 billion, supported by higher hotel rates and increased retail spending within the resort complex.

Earnings before interest, taxes, depreciation, and amortization (EBITDA) reached P1.7 billion, aided by cost management efforts.

AGI has interests in real estate through Megaworld, spirits through Emperador, leisure and hospitality through Travellers International, and quick-service restaurants through its stake in GADC, the operator of McDonald’s Philippines.

On Thursday, AGI shares rose by five centavos or 0.58% to close at P8.70 apiece. — Alexandria Grace C. Magno