AGI 1H profit surges 39% to PHP 19.2B

Alliance Global Group Inc. (AGI), led by tycoon Dr. Andrew L. Tan, posted a 39% year-on-year jump in net income to PHP 19.2 billion for the first half of 2025, fueled by strong real estate and tourism-related businesses and resilient domestic spending.

Group revenues hit PHP 100.9 billion, boosted by one-time gains from the deconsolidation of Golden Arches Development Corp. (GADC), where AGI retains a 49% stake.

The deconsolidation earlier this year generated PHP 3.4 billion in one-off gains, with GADC now treated as an associate in AGI’s books. Excluding one-time items, normalized net income reached PHP 15.1 billion, up 19% year-on-year, while normalized revenues totaled PHP 87.1 billion, up 3%.

Attributable net profit on a normalized basis rose 23% to PHP 10.1 billion.

In the second quarter, normalized revenue was PHP 45.3 billion, while attributable profit climbed 25% to PHP 5.3 billion.

“AGI delivered strong results in the first half of the year, benefitting from a buoyant domestic economy despite ongoing global uncertainty,” said AGI president and CEO Kevin L. Tan.

He credited higher residential and retail sales, strong office take-up, robust tourism activity, and steady spirits sales, adding, “By managing our costs, we hope to enhance our operating leverage to ensure a more robust growth in profit as the economy further recovers.”

Megaworld Corporation remained AGI’s biggest contributor, posting a 10% revenue increase to PHP 43.1 billion, driven by growth across all business segments.

Real estate sales rose 9% to PHP 27.1 billion, sales reservations hit PHP 54.7 billion, and project launches reached PHP 10.4 billion.

Megaworld Premier Offices saw rental income climb 17% to PHP 7.4 billion, with an 87% occupancy rate, while Megaworld Lifestyle Malls posted PHP 3.3 billion in revenues, up 10%, supported by 93% occupancy.

Megaworld Hotels & Resorts revenue rose 19% to PHP 2.8 billion, buoyed by strong tourism demand. Attributable net income for Megaworld grew 25% to PHP 10.7 billion.

Emperador Inc. recorded a 14% quarter-on-quarter revenue jump in the second quarter to PHP 15 billion, driven by strong domestic brandy sales and expanding overseas whisky sales.

First-half consolidated revenues reached PHP 28.2 billion, with net income to owners at PHP 3.9 billion.

Travellers International, AGI’s leisure and tourism arm, posted a 21% quarter-on-quarter EBITDA growth in the second quarter to PHP 2.5 billion.

Gross revenues hit PHP 9.2 billion, with PHP 7.5 billion from gaming and PHP 1.7 billion from non-gaming segments, supported by a 90% hotel occupancy rate at Newport World Resorts.

Travellers’ first-half EBITDA rose 11% to PHP 4.5 billion, while attributable income reached PHP 315 million on PHP 18.9 billion in revenues.

AGI’s diverse portfolio spans real estate through Megaworld, spirits manufacturing via Emperador, leisure and hospitality through Travellers International, and quick service restaurants via its stake in GADC (McDonald’s Philippines).