Despite a challenging operating environment, San Miguel Corp.'s hard liquor arm, Ginebra San Miguel Inc. (GSMI), sustained its growth momentum in the first quarter of 2026, with net income rising faster than revenues.

First-quarter net income reached ₱2.3 billion, up nine percent from the same period last year. Gross profit improved 11 percent to ₱4.5 billion, supported by better selling prices, lower molasses costs, and improved distillery efficiencies.

Consolidated revenues for the January-to-March 2026 period reached ₱16.7 billion, up three percent year-on-year, while operating income grew 15 percent to ₱2.8 billion.

“Even with cost pressures affecting the broader economy, we stayed focused and disciplined in execution, ultimately expanding our market share and further reinforcing our leadership in the domestic industry,” said GSMI President and CEO Ramon S. Ang.

GSMI’s first-quarter performance builds on its strong full-year 2025 results, when it recorded its 12th consecutive year of volume growth and achieved a record 51 million cases sold.

For 2025, revenues grew eight percent to ₱67.4 billion, driven by effective pricing strategies and stable sales volumes. Operating income likewise rose 21 percent to ₱10.4 billion, while net income increased 20 percent to ₱8.7 billion from ₱7.3 billion in 2024.

A key contributor to the company’s 2025 performance was the flagship Ginebra San Miguel campaign, alongside its consumer promotions. These initiatives strengthened brand equity and increased volumes, helping the company defend its leadership in Luzon and expand further in Visayas and Mindanao.

Other brands also sustained their growth momentum: Vino Kulafu thrived with its award-winning campaign, GSM Blue remained a preferred choice among younger consumers, and Primera Light Brandy expanded its consumer base.

The company continues to roll out new campaigns to strengthen brand relevance and sustain consumption growth throughout 2026.

Beyond marketing initiatives, GSMI is investing in its operations and long-term growth capabilities, which include modernizing bottling lines and expanding its second-hand bottle-washing network.

These investments are aimed at sustaining growth, strengthening the supply chain, deepening regional engagement, and expanding the company's premium portfolio to capture evolving consumer preferences. (James A. Loyola)