Emperador posts robust Q3 growth

MANILA, Philippines - Emperador Inc., a member of Andrew Tan-led conglomerate Alliance Global Group Inc., posted a robust third quarter earnings growth on the back of stronger volume and higher margins.

The Philippines’ largest liquor company said its net income stood at P1.5 billion in the July to September period this year, 15 percent higher than the same period last year, and a 12 percent growth compared to the second quarter performance this year.

“Our gross profit rose to P2.6 billion during the third quarter, that is 13 percent better compared to the third quarter of last year,” said Dina Inting, Emperador chief finance officer.

Inting said Emperador’s net income for the first nine months of 2014 already totaled to nearly P4.6 billion with consolidated revenues reaching P20 billion.

Emperador is the top selling spirit in the Philippines with a dominant 50-percent share. While Emperador brandy sells mostly in the Philippines, it is also renowned for being the number one selling brandy in the world with 33 million cases sold last year.

Emperador president Winston Co said the firm plans further expansion of its global footprint moving forward, with sights set for potential export to Europe and Africa.

The liquor firm currently holds the distinction of having the most technologically-advanced vineyard in Spain, which generates 500 percent higher yield than average Spanish vineyards.

“We are excited about the export potential especially in Europe and Africa, which may commence in the first quarter of 2015. Meanwhile, our investment in Spain, which includes vineyards and brandy production facilities, is going to help us achieve better cost efficiency,” Co said.

Since 2013, Emperador has acquired over a thousand hectares of prime vineyard land in Spain.

Emperador owns 100 percent of Emperador Distillers, Inc., which produces and markets its own products under the Emperador brand such as Emperador, Generoso and Emperador Light brandies, and a line of flavored alcoholic beverages called The Bar.

The liquor firm is 87.55 percent owned by of Tan’s AGI, which is also into property (Megaworld Group), fastfood (McDonald’s franchise operator Golden Arches Development Corp.) and hotels and casino (Travellers International Hotel Group Inc.).