Alliance Global Group, Inc. (AGI), the holding company of tycoon Dr. Andrew L. Tan, started the year with a hefty 66% year-on-year increase in first quarter 2025 consolidated net income to P11.0 billion, which included one-time gains resulting from the deconsolidation of Golden Arches Development Corp (GADC) in the financial statements of AGI.  GADC, where AGI retains its 49% interest, is now treated as an associate after securing a new license term from McDonald’s Corporation. 

Netting out such gains, AGI still posted a robust 14% growth in normalized net income to P7.5 billion from year ago level of P6.6 billion, while consolidated revenues amounted to P51.9 billion, an increase of 3% from its year ago level of P50.6 billion.

Normalized net income to owners also grew by 18% year-on-year to P5.0 billion.

“AGI started the year with notably strong results in the first quarter even amidst domestic and global challenges mainly brought about by the ongoing US tariff issues.  Our topline was driven largely by healthy real estate sales, robust revenues from our tourism-related segments, and strong leasing income from both our premium offices and lifestyle malls.  These businesses are primary beneficiaries of resilient consumer spending, matched by our attractive and experiential offerings,” says Kevin L. Tan, Chief Executive Officer and President of AGI.

“More importantly, our first quarter performance also underscores the efficient cost management measures we continue to implement across all our business segments.  Our prudent and disciplined business practices should give us more operating leverage and help us stay on course even with this challenging environment,” continues Tan. 

In the first quarter of 2025, Megaworld, the country’s leading township developer, recorded an enviable 16% year-on-year improvement in attributable net income to P5.1 billion. This was buoyed by the sustained growth in all of its key business units, which brought its consolidated revenue higher by 11% to P20.9 billion. Its real estate sales grew by 8% to P13.1 billion as construction progress accelerated, driven mainly by projects outside of Metro Manila.  Revenues from the Megaworld Hotels and Resorts unit also remained buoyant, rising by 27% to P1.4 billion amid higher average daily rates helped by increased domestic tourism and MICE activities.  Megaworld Premium Offices gave in a sharper 17% year-on-year rise in rental income on higher renewal rates and steady occupancy of 87%, much better than industry experience.  Meanwhile, contribution from Megaworld Lifestyle Malls grew by 11% to P1.7 billion, helped by increased foot traffic and tenant sales, as well as a favourable tenant mix on occupancy rate of 92%.

Emperador registered consolidated revenues of P13.2 billion in the first three months of the year.  This was driven mainly by the 10% year-on-year increase in brandy revenues, as domestic sales were boosted by the aspirational Spanish brandy Fundador, which enjoyed double-digit growth. Its other Spanish and Mexican brands also grew strongly in the international market.  Helped further by cost efficiencies, the company ended the quarter with a healthy 7% year-on-year growth in net income to P1.85 billion.

Travellers International, the Group’s leisure and tourism arm and owner/operator of Newport World Resorts, recorded a sharp 42% year-on-year growth in EBITDA in the first quarter to P2.1 billion, underpinned by its intensified cost management efforts.  Gross revenue during the period stood at P9.7 billion, reflecting a 5% year-on-year growth.  Gross gaming revenue rose by 6% to P7.9-billion, coming on the back of a recovery in the VIP segment amid better hold rate.  Meanwhile, its non-gaming segment sustained its growth trajectory, expanding its revenues by another 4% year-on-year to P1.8 billion, driven mainly by the hectic domestic and international tourism which allowed for higher hotel occupancy rates and improved retail spending.

“Despite ongoing macro headwinds, we maintain our optimistic outlook for the balance of the year.  We have laid out exciting plans across our various business segments, ready to take advantage of the resilient consumer spending and a resurgence in global economic activity.  We look forward to sustaining our robust start and being able to finish strong,” says Tan.

The Andrew Tan-led conglomerate has varied interests spanning real estate developments through property giant Megaworld Corporation; spirits manufacturing through Emperador Inc.; leisure, entertainment and hospitality through Travellers International Hotel Group, Inc.; and, quick service restaurants through Golden Arches Development Corporation, popularly known as McDonald’s Philippines.