spot_img
28 C
Philippines
Thursday, March 28, 2024

Alliance Global hikes 2023 capital spending to P70b

- Advertisement -

Alliance Global Group Inc., the listed holding company of tycoon Andrew Tan, earmarked P70 billion in capital expenditures for 2023 to support the expansion of its property, liquor and gaming businesses.

This year’s programmed capital expenditures represent an increase of 22.8 percent from P57 billion the group invested in 2022.

“For 2023, we raised our capex to P70 billion as we remain optimistic of our growth prospects across all our business segments and as we continue our evolution as a truly premium lifestyle conglomerate,” AGI said in an investor presentation.

It said the bulk of this year’s programmed spending was allocated for property unit Megaworld Corp. which plans to spend P55 billion, higher than P46 billion in 2022.

Megaworld aims to launch P60 billion worth of projects and raise P130 billion in reservation sales this year. It also intends to unveil three new township projects.

- Advertisement -

Megaworld plans to add 207,200 square meters of office leasable area and 159,000 sq. m. of mall space between 2023 and 2026. It also seeks to increase hotel rooms keys by 3,159 until 2028.

Liquor unit Emperador Inc. programmed P7 billion in capital expenditures this year as it aims to generate 50 percent of business from international operations by 2025.

Gaming unit Travellers International Hotel Group Inc. and quick service restaurant operator Golden Arches Development Corp. budgeted P4 billion each for spending this year.

GADC, a joint venture between businessman George Yang and AGI which owns the Philippine franchise for McDonald’s, is looking add 50 stores this year after ending 2022 with 704 branches.

TIHGI is looking to sustain the growth of its VIP business while expanding its premium mass segment. It also plans to improve foot traffic at Newport World Resorts Complex in Pasay City.

AGI reported attributable net income of P16.1 billion in 2022, down 4.7 percent from 2021 to margin pressures coming from higher input costs. Revenues, on the other hand, jumped 20 percent to P183.6 billion.

- Advertisement -

LATEST NEWS

Popular Articles