Lucio III replaces uncle Michael as LTG president
Published May 3, 2023 07:45 am
The helm of LT Group Inc., the flagship of taipan Lucio Tan, changed hands after a year-long leadership transition period which also marked the conglomerate’s best financial performance in the last 10 years.
During the firm’s annual stockholders’ meeting, the taipan’s grandson 30-year-old Lucio Tan III, officially took over as president from Michael Tan, the taipan’s son who had been president since 2013.
LT Group President and COO Lucio Tan III
“I am deeply honored to accept the appointment as President and Chief Operating Officer. I thank the board of directors for entrusting me with this responsibility, and I am grateful to all of you for your support,” said Tan III. He added that, “In exercising the functions of my new role, rest assured that I will be guided by the values of integrity, diligence, excellence, and transparency.” “As I assume this crucial task, I am keenly aware of the challenges we face as a company. The business landscape is constantly evolving, and we must adapt quickly to stay competitive. However, I am confident that with our talented and dedicated team, we will overcome these challenges and achieve even greater success,” Tan said.
LT Group Director Michael Tan
Outgoing President Michael Tan is leaving his post with a record profit of P25.1 billion in 2022 despite seemingly insurmountable challenges brought about by COVID-19. He successfully steered the company in the past 10 years to greater heights with 2022's income nearly three times that of 2013 when LTG had its initial public offering that raised P37.7 billion. Following its record profit in 2022, LTG likewise declared its highest-ever cash dividends of P1.40 per share or a total of P15.2 billion, representing a 74.8 percent payout rate. In all, since the IPO in 2013, LTG has declared dividends of P4.58 per share or a total of P49.6 billion. "Like most businesses, your company had to grapple with higher energy, raw material and freight costs, higher interest rates, and higher foreign exchange rates, making it a challenge to keep costs down and at the same time, implement price increases to pass on some of the cost increases to our customers. And your Company was able to succeed, posting growth in our income for 2022," Tan said. Michael will remain as board director and as President of LTG subsidiary Asia Brewery Inc. In his message, Michael thanked the company's stakeholders for the continued support and trust despite the challenges. "Your company's journey, from the reorganization in 2012 of Tanduay Holdings Inc., to what it is today, has not been easy. As I look back over the past decade of LTG as a publicly-listed company, we have done our best to lead it to where it is, Built the Way, the Tried and Tested Way. “The task of the President of this Company is not about the glitz and glamour, but meant stewardship over what was entrusted to me, with careful and responsible management, with accountability. I have handled the responsibility with integrity and done what I could to the best of my ability. I have always put the interests of the stakeholders and shareholders, especially the minority shareholders, above everything else,” he said. During the year-long transition, Tan III shared decision-making responsibilities for business and operational matters with his uncle, Michael. Tan III expressed gratitude to the senior management and employees for their hard work and dedication, which has led to a growing and profitable group of companies that provide products, services, and employment to Filipinos. He also emphasized the importance of focusing on further optimizing their business processes. "As in the past years that we were able to overcome the challenges of the pandemic, my commitment remains in delivering consistent results and prioritizing the profitability of every company in our portfolio. “Additionally, we will continue to strive in creating value for our stakeholders. By staying true to our core values and embracing innovation, we are confident that we can build a resilient and thriving business that will endure for the long term," he said.
LT Group President and COO Lucio Tan III
“I am deeply honored to accept the appointment as President and Chief Operating Officer. I thank the board of directors for entrusting me with this responsibility, and I am grateful to all of you for your support,” said Tan III. He added that, “In exercising the functions of my new role, rest assured that I will be guided by the values of integrity, diligence, excellence, and transparency.” “As I assume this crucial task, I am keenly aware of the challenges we face as a company. The business landscape is constantly evolving, and we must adapt quickly to stay competitive. However, I am confident that with our talented and dedicated team, we will overcome these challenges and achieve even greater success,” Tan said.
LT Group Director Michael Tan
Outgoing President Michael Tan is leaving his post with a record profit of P25.1 billion in 2022 despite seemingly insurmountable challenges brought about by COVID-19. He successfully steered the company in the past 10 years to greater heights with 2022's income nearly three times that of 2013 when LTG had its initial public offering that raised P37.7 billion. Following its record profit in 2022, LTG likewise declared its highest-ever cash dividends of P1.40 per share or a total of P15.2 billion, representing a 74.8 percent payout rate. In all, since the IPO in 2013, LTG has declared dividends of P4.58 per share or a total of P49.6 billion. "Like most businesses, your company had to grapple with higher energy, raw material and freight costs, higher interest rates, and higher foreign exchange rates, making it a challenge to keep costs down and at the same time, implement price increases to pass on some of the cost increases to our customers. And your Company was able to succeed, posting growth in our income for 2022," Tan said. Michael will remain as board director and as President of LTG subsidiary Asia Brewery Inc. In his message, Michael thanked the company's stakeholders for the continued support and trust despite the challenges. "Your company's journey, from the reorganization in 2012 of Tanduay Holdings Inc., to what it is today, has not been easy. As I look back over the past decade of LTG as a publicly-listed company, we have done our best to lead it to where it is, Built the Way, the Tried and Tested Way. “The task of the President of this Company is not about the glitz and glamour, but meant stewardship over what was entrusted to me, with careful and responsible management, with accountability. I have handled the responsibility with integrity and done what I could to the best of my ability. I have always put the interests of the stakeholders and shareholders, especially the minority shareholders, above everything else,” he said. During the year-long transition, Tan III shared decision-making responsibilities for business and operational matters with his uncle, Michael. Tan III expressed gratitude to the senior management and employees for their hard work and dedication, which has led to a growing and profitable group of companies that provide products, services, and employment to Filipinos. He also emphasized the importance of focusing on further optimizing their business processes. "As in the past years that we were able to overcome the challenges of the pandemic, my commitment remains in delivering consistent results and prioritizing the profitability of every company in our portfolio. “Additionally, we will continue to strive in creating value for our stakeholders. By staying true to our core values and embracing innovation, we are confident that we can build a resilient and thriving business that will endure for the long term," he said.