Alliance Global bullish on 2025 profit despite trade war

Despite its exposure to the US market via its liquor business, Alliance Global Group Inc. (AGI) maintained its profit optimism for the rest of the year. This owes to upcoming plans across its businesses.

AGI president and CEO Kevin Tan said in a statement on Friday they had started 2025 with “notably strong results … even amid domestic and global challenges mainly brought about by the ongoing US tariff issues.”

Liquor arm Emperador Inc. exports whisky to the United States via Scotland-based Whyte and Mackay. The latter also distributes high-end brand Dalmore.

US President Donald Trump imposed a 10-percent baseline duty on all goods coming from the United Kingdom, including Scotland.

“Despite ongoing macro headwinds, we maintain our optimistic outlook for the balance of the year,” Tan said. “We have laid out exciting plans across our various business segments, ready to take advantage of the resilient consumer spending and a resurgence in global economic activity.”

AGI had laid out a P63-billion spending plan for the year to support the expansion of its business units.

Tan’s optimism came as AGI reported a 66-percent surge in its first-quarter earnings to P11 billion. This was due to a one-time gain from the deconsolidation of Golden Arches Development Corp. (GADC).

McDonald’s franchise

AGI currently holds a 49-percent interest in GADC, the local franchise holder of McDonald’s Corp.

After securing a new license to operate the Philippine stores of the global fast-food giant, GADC was treated as an associate of AGI. Its financial statements were separated from the conglomerate’s.

Without this nonrecurring item, AGI’s net income jumped by 14 percent to P7.5 billion. This was driven by gains from developer Megaworld Corp. Revenues rose by 3 percent to P52 billion.