Alliance Global Group Inc. (AGI), the investment vehicle of billionaire Andrew Tan, reported a record net income last year, as gains from its real estate and leisure units helped offset the decline in consolidated revenue following the deconsolidation of its McDonald’s local franchise.

In a disclosure to the Philippine Stock Exchange on Tuesday, April 21, the firm said that its net income rose 10 percent to ₱30.6 billion from ₱27.9 billion a year earlier.

Profit attributable to equity holders of the parent company climbed 19 percent to ₱20.7 billion. The results included a ₱3.4 billion one-time revaluation gain.

Excluding one-offs, AGI's normalized net income in 2025 rose two percent year-on-year to ₱27.0 billion on consolidated revenues of ₱176.3 billion. Normalized attributable net profit was steady at ₱17.3 billion.

Consolidated revenue dropped to ₱189.7 billion in 2025 from ₱223.6 billion in 2024 despite higher contributions from real estate and leisure and entertainment.

The firm said its performance reflects the deconsolidation of its quick service restaurants business, Golden Arches Development Corp. (GADC), and includes one-time revaluation gains of ₱3.4 billion. While AGI retains a 49 percent stake, McDonald’s Philippines owner GADC is now treated as an associate.

“Once again, the Group delivered another strong financial and operating performance in 2025 despite macroeconomic headwinds. Most of our businesses surpassed peer levels, particularly in the office, retail, residential, and leisure and hospitality segments,” said AGI Chief Executive Officer Kevin L. Tan.

He added that, “Our profitability was further supported by conscious cost efficiency measures which we intend to continue implementing across the business,” continues Tan.

AGI has varied interests spanning real estate developments through Megaworld Corporation; spirits manufacturing through Emperador Inc.; leisure, entertainment, and hospitality through Travelers International Hotel Group, Inc.; and quick service restaurants (QSR) through GADC.

Premier township developer Megaworld remained the biggest contributor to group performance in 2025, reporting consolidated revenues of ₱85.9 billion, up five percent, while attributable profit grew at a faster pace of 12 percent to ₱21.0 billion from ₱18.7 billion a year ago, benefitting further from improving efficiencies.

Travellers International, the Group’s leisure and tourism arm and owner-operator of Newport World Resorts (NWR), saw net revenues improve two percent to ₱31.9 billion on the back of a four percent growth in net gaming revenue to ₱24.2 billion, which cushioned the four percent decline in hotel and other revenue to ₱7.6 billion coming off a high base.

Earnings before interest, taxes, depreciation, and amortization grew by seven percent to ₱9.0 billion, supported by cost management efforts. Attributable profit increased 21 percent to ₱1.5 billion, aided further by lower financial charges.

Emperador Inc., the world’s largest brandy company and one of the fastest-growing Scotch whisky manufacturers, reported consolidated revenues of ₱57.0 billion, navigating a softer global spirits environment. Attributable net income reached ₱3.9 billion in 2025.

"While we face this year with cautious optimism, we are excited to advance several initiatives that showcase our pursuit of excellence. We look forward to balancing proactive improvements with a strategic response to ongoing geopolitical and macro challenges,” Tan said. (James A. Loyola)