Manila–(PHStocks)–Alliance Global Group Inc. (PSE : AGI) raked in a net income of PhP21 billion last year, reflecting an 8% increase over 2013 (net of non-recurring or extraordinary items) – the highest level in the company’s history.
This record-breaking income was achieved on consolidated revenues of PhP125 billion, also a record level for the Andrew Tan-led conglomerate, which is engaged in property development, food and beverage manufacture and distribution, quick-service restaurants and integrated tourism development businesses.
“We feel elated and excited about our performance. The consistent robust performance of our group is underpinned by our commitment to focus on what we do best. Yes, we are always open to opportunities but our core businesses are borne out of passion, creativity, and innovation. We are proud to say that we are game changers and brand builders. And we will constantly strive to raise the bar,” said Kingson U. Sian, president and chief operating officer, AGI.
Driven by AGI’s majority-owned companies – Megaworld Corp. (PSE: MEG), Emperador Inc. (PSE: EMP), Travellers International Hotel Group, Inc., and Golden Arches Development Corp. (GADC) – net income attributable to AGI shareholders reached PhP13 billion last year, down by 4% on a recurring basis. This was due to net income attributable to minority interests or non-controlling interests increasing by as much as 35% year-on-year. This increase was in turn a result of AGI having reduced ownership in Emperador and Travellers last year following their initial public offerings (IPOs) in the latter part of 2013. Prior to the IPOs, AGI had 100% stake in Emperador and 50% stake in Travellers.
On a standalone basis, the individual companies of AGI all delivered strong earnings last year. Megaworld reported a net income of PhP9.4 billion: up 14% yearon-year. Emperador delivered PhP6.2b in earnings: up 6% year-on-year. Travellers raked in PhP5.4 billion, higher by almost 100% year-on-year. GADC posted a net income of almost PhP800 million in 2014.
Sian added, “Our businesses are all compelling consumer plays. Megaworld is the pioneer in live-work-play-learn township developments and remains unmatched in this area. Emperador is a genuine game changer that has a 50% market share nationwide and as high as 72% in Greater Manila area. And it is now a global company given last year’s acquisition of Whyte and Mackay, a Scotch whisky company. Travellers International is the country’s most profitable tourismentertainment and gaming company and it is the only one that has two tourismentertainment and gaming sites. GADC, which holds the exclusive right to operate restaurants in the Philippines under the “McDonald’s” brand, had 457 branches all over the country at the end of 2014. GADC opened more than 50 branches last year, the biggest number of openings in its history.”