Net income rose 3 percent from P15.6 billion a year earlier, while revenue increased by the same pace to nearly P90 billion excluding the impact of last year’s deconsolidation of McDonald’s Philippines operator Golden Arches Development Corp.
Management’s view
“In a demanding global environment, the strength of this group is its mix. Our recurring property income kept compounding, our gaming business grew earnings even as the industry moved away from VIP play, and our spirits continued to grow on a stronger portfolio,” AGI president and CEO Kevin Tan said in a statement on Friday.
AGI’s leisure business is set to add capacity from Westside Resorts Manila and Narra Palm Resorts and Villas later this year, potentially extending the improvement at Travellers into the second half.
Newport becomes the standout
The biggest earnings improvement came from Travellers International, owner of Newport World Resorts, where attributable profit nearly doubled to P568 million and ebitda increased 13 percent to P4.4 billion.
The casino operator also shifted toward steadier sources of revenue, with non-VIP gaming revenue rising 6 percent to P9.6 billion and non-gaming revenue climbing 12 percent to P3.9 billion as high-roller volumes declined.
Property provides the backbone
Other major businesses provided broader support:
Emperador earned P3.7 billion during the period as continued spending on its brands tempered the immediate profit benefit from stronger sales and margins.
—Edited by Miguel R. Camus
