Tanduay ventures into new export markets to sustain record earnings
The Lucio Tan Group’s (LTG) spirits subsidiary, Tanduay Distillers Inc., is looking to further expand its international footprint by increasing its product availability in more countries, including both Eastern and Western Europe.
The firm said it aims to capitalize on the growing global demand for premium spirits and introduce more international consumers to one of the Philippines’ most iconic rum brands.
For this year, Tanduay has already entered new export markets such as Denmark, Estonia, Italy, Latvia, Lithuania, Slovakia, and Thailand.
This is in addition to its ongoing exports to Australia, Austria, Belgium, Canada, China, Costa Rica, the Czech Republic, Germany, Hungary, India, Japan, Luxembourg, Malta, the Netherlands, Peru, Poland, Singapore, South Korea, Taiwan, the United Arab Emirates (UAE), the United Kingdom (UK), and the United States (US).
Tanduay also strengthened its leadership in the Philippines as it expanded its national market share to 39.5 percent last year, up from 34.2 percent in 2024. It continued to dominate Visayas region with a 70.4-percent market share, and Mindanao with an even higher 82.9-percent share.
“As we build on the momentum of the previous year, we will keep strengthening Tanduay’s presence locally and globally,” said LTG President and Chief Operating Officer (COO) and Tanduay President and Chief Executive Officer (CEO) Lucio Tan III.
He noted that, “We will remain focused on product quality and innovation, while also looking for more ways for people around the world to experience the heritage and tradition behind Tanduay.”
Tanduay’s continued growth played a significant role in driving LTG’s strong financial performance in 2025.
The conglomerate posted its fourth consecutive year of record earnings, with consolidated attributable income of ₱30.98 billion in 2025, a seven-percent increase from the ₱28.92 billion recorded in 2024.
Tanduay recorded a net income of ₱3.12 billion in 2025, a 45-percent jump from ₱2.15 billion in 2024. This marked its sixth consecutive year of record-breaking profits, increasing its share in LTG’s consolidated attributable income from seven percent in 2024 to 10 percent in 2025.
“Tanduay’s continued growth reflects its strength as a brand and the trust of our consumers. Achieving six consecutive years of record profits also shows the efficiency of our teams across the organization and their focus on delivering quality products for Tanduay’s increasing consumer base,” said Tan.
Tanduay’s strong bottom line was supported by higher net revenues of ₱34 billion in 2025, slightly above the ₱33.85 billion recorded in 2024. It was also fueled by better pricing strategies and improved operational efficiency.
Cost of sales declined to ₱28.12 billion in 2025 from ₱28.92 billion in 2024. Higher selling prices and cost reduction programs resulted in a higher gross profit margin of 17 percent, up from 15 percent in 2024.
Tanduay’s operating expenses (opex) also declined to ₱2.02 billion from ₱2.12 billion in 2024, due to lower spending on advertising, promotions, and other operating costs.