GT Capital Holdings Inc., the investment vehicle of the late tycoon George Ty’s family, reported a three percent decline in consolidated net income for the first quarter of 2026, as a global economic slowdown and supply chain bottlenecks pressured its automotive and real estate units.

The firm informed the Philippine Stock Exchange on Friday, May 15, that net income fell to ₱8.91 billion from ₱9.14 billion in the same period a year earlier.

Core net income, which strips out one-time gains and losses, dropped 8.5 percent to ₱7.96 billion from ₱8.70 billion on the back of the cooling effect of elevated fuel prices, commodity costs, and foreign exchange volatility on the Philippines’ largest diversified groups.

The downturn was most pronounced at Toyota Motor Philippines Corp., the country’s dominant auto retailer, where net income tumbled 16 percent to ₱5.3 billion. Revenue at the unit slipped to ₱62.4 billion as vehicle sales fell 6.5 percent to 51,922 units.

While Toyota’s sales decline was narrower than the broader industry’s 7.2 percent contraction, the unit struggled with a weaker peso and dampened consumer appetite for big-ticket purchases.

Masando Hashimoto, president of the Toyota unit, said that while the environment remains difficult, the company is seeing “bright spots” in electrified vehicles and incentives from the government’s

The property sector also weighed on the parent firm’s bottom line. Federal Land Inc. recorded a sharp drop in reservation sales, which fell to ₱3.8 billion from ₱5.9 billion a year ago, reflecting a persistent malaise in the residential real estate market.

“The adverse geopolitical and economic conditions resulted in weaker consumer spending in the first quarter,” GT Capital President Carmelo Maria Luza Bautista said in the statement. “These dampened our results and signal a general slowdown in the near term, as uncertainties persist.”

Bautista added that the group’s strong balance sheet provides the “flexibility to navigate” further disruptions.

Providing a buffer to the group’s earnings were its banking and infrastructure interests. Metropolitan Bank & Trust Co., the conglomerate’s banking arm, saw net income rise three perccent to ₱12.6 billion, driven by asset expansion and improved margins.

Metrobank President Fabian S. Dee said the bank remains well-capitalized to manage risks while supporting customer funding needs.

Meanwhile, associate firm Metro Pacific Investments Corp. reported a five percent increase in core net income to ₱6.9 billion.

The infrastructure giant’s growth was fueled by its power and healthcare divisions, which benefited from higher generation output and increased patient volumes. In the insurance segment, AXA Philippines Life and General Insurance Corp. saw a 13 percent rise in annual premium equivalents to ₱1.5 billion, led by protection and health products. (James A. Loyola)