Tan-led AGI reports 73% income growth to P3.5B

ALLIANCE Global Group, Inc. (AGI) reported P3.5 billion in net income to owners for the quarter ending September, 73% higher than last year’s P2.03 billion as revenues rose 28% to P38.9 billion.

“AGI delivered these strong results even amid the health crisis while tapping on its internal strengths — its differentiated products and services, extensive distribution network, diversified operations, massive land bank, and healthy balance sheet,” AGI Chief Executive Officer Kevin Andrew L. Tan said in a statement disclosed to the exchange on Monday.

For the nine months to September, the Tan-led firm booked a net attributable income of P12 billion, more than double the P5.8 billion logged in the same period a year ago. Net income also surged 173% to P17.3 billion from P6.4 billion.

Meanwhile, consolidated revenues grew by 20% to P110 billion from P91.8 billion a year ago.

“The pandemic has also prompted our organization to maintain our cost efficiencies in most areas of our operations. This provided a major boost in our nine-month consolidated net margin, which went up 500 basis points from year-ago level,” Mr. Tan said.

Its listed property firm, Megaworld Corp., reported a nine-month profit growth of 10% year on year to P8.2 billion as revenues rose 11% to P36.9 billion. Its third-quarter net attributable income climbed 57% to P3.2 billion on the back of higher real estate sales.

Meanwhile, spirits manufacturing arm Emperador, Inc.’s net income went up by 24% from a year ago to P7.3 billion as it continued to record strong sales of its whisky and premium brandy brands. The company said the figure almost matched its full-year 2020 performance.

Resorts World Manila owner and operator Travellers International Hotel Group, Inc. said it net income for the nine-month period totaled P1.9 billion, a reversal of the P5.4 billion registered a year ago. This took into account a P5.6-billion one-time gain from the services rendered by its subsidiary for its Westside City project.

Travellers saw a 28% increase year on year to P14.8 billion in gross revenues as gross gaming revenues climbed 37% to P12.8 billion.

For the third quarter alone, Travellers’ gross revenues hit P5 billion, up by 36% from a year ago and 9% quarter on quarter. Gross gaming revenues for the quarter amounted to P4.9 billion. Hotel revenues also went up 77% year on year with occupancy rates hitting pre-pandemic levels at 79%.

Golden Arches Development Corp. (GADC), which is AGI’s partnership with the George Yang group, posted a net income for the third quarter of P134 million, a reversal of its P257-million loss a year ago. Sales revenues climbed 33% to P5.9 billion as system-wide sales grew 42%.

The company said GADC or McDonald’s Philippines posted a positive performance on the back of its upgraded online platform and as drive-through sales increased.

For the nine-month period, GADC reversed its losses to post a net income of P183 million from the P967-million loss incurred a year ago. Sales revenues grew 25% to P17.7 billion.

“We look forward to the further reopening of the economy as this could bring about the much-vaunted revenge spending in time for the holiday season,” Mr. Tan said.

“We expect the renewed activity to continue, paving the way for the Group’s full recovery from the pandemic hopefully by next year,” he added.

Shares of AGI at the stock exchange went down by 1.24% or 14 centavos on Monday to close at P11.16 each. — Keren Concepcion G. Valmonte