ANDREW Tan-led Alliance Global Group Inc. (AGI) reported a net income of P3.3 billion in 2007 from P1.73 billion a year earlier.

Growth was bolstered by P27.3 billion in consolidated revenues of its three major units, namely, Emperador Distillers Inc. (EDI), Megaworld Corp. and Golden Arches Development Corp.—which owns the exclusive master franchise of McDonalds in the country.

“The company’s solid financial position will ensure that all our business segments will have sufficient capital to support their operations amidst challenges in the current business climate. Furthermore, our strong balance sheet allows us to look at new opportunities in the marketplace and ensure AGI’s sustained growth,” said president Kingson Sian.

The company has sound financials with consolidated cash position of P24 billion and financial debt of only P7.2 billion, which results in a net cash position of P16.8 billion.

Sian said AGI’s liquor and quick service restaurant businesses posted a combined net income of P1.58 billion as of end-2007. This is a 158-percent increase over 2006 full-year proforma combined net income of P612.9 million. Emperador produces the world’s largest-selling brandy, Emperador Brandy, while GADC is the second largest quick-service restaurant in the Philippines.

In the real-estate investment and development division, Megaworld produced another record profit of P3.01 billion, up by 48 percent from P2.04 billion in 2006. Total revenue reached P14.6 billion, up 56 percent year-on-year.

Real-estate sales jumped 71 percent year-on-year to P10.6 billion from P6.2 billion. Rental revenue from Megaworld’s BPO office and retail projects rose 32 percent to P931.9 million from P707.3 million.

“AGI’s core-business segments have all performed well last year, underscoring the success of the company’s strategy to focus on the middle income market. However, we are looking at 2008 with caution as higher inflation and increased competition will temper growth in the consumer segment of our business,” Sian said.

Nevertheless, he expects AGI to post a net profit of P3.9 billion this year.

PRIVATE equity real-estate fund ARCH Capital Asian Partners L.P. has formed a joint venture with the Mahindra Group of India for the development of an exclusive residential community within the 1,500 acre Mahindra World City (MWC) in Chennai, India.

AGI posts P3.3-B net income in 2007

ANDREW Tan-led Alliance Global Group Inc. (AGI) reported a net income of P3.3 billion in 2007 from P1.73 billion a year earlier.

AS power costs rise in proportion to urban temperatures that weather experts say may reach 40°C, a Canadian firm said it tested how to cool a shopping mall using an energy-saving device.

SM Development Corp. (SMDC), one of the property units of the Sy group, said its real-estate sales for the first quarter grew 125 percent to P575 million from P256 million in the same period a year ago.

THE National Telecommunications Commission (NTC) wants to abolish access charges between phone firms that offer wireless landline in a local calling area.

Foundations have varied reasons for being registered but more usually for fund- raising activities or projects. In this regard, the Securities and Exchange Commission (SEC)  maintains it to be essential that all the funds generated by these foundations be used in accordance with the purposes or objectives mentioned in their articles of incorporation.