Emperador Inc., a global brandy and whisky firm led by billionaire Andrew Tan, said Tuesday its net profit attributed to the parent company reached P2.1 billion in the second quarter of 2024, down 12.5 percent from P2.4 billion in the same period last year.
Emperador said in a disclosure to the stock exchange first-half attributable net income hit P3.8 billion, or 19 percent lower than P4.7 billion earned a year ago.
Second-quarter revenues amounted to P15.5 billion, bringing first-half figure to P28.6 billion.
Emperador said its financial results improved quarter-on-quarter due better markets in Asia, Europe and Latin America.
“There are signs that consumer confidence is returning globally evidenced by higher revenues vs the previous quarter amidst challenges of high interest rates, inflation, and geopolitical uncertainty,” Emperador said.
It said its business remained resilient due to its diversified portfolio in whisky and brandy, which covers numerous price points, and its wide distribution, which includes over 100 markets.
The liquor firm said, however, the Philippine market remained challenging amid increased competition from lower priced products.
“The market is inundated with cheap products as consumers seek for value. The company is pivoting towards a more competitive stance. However, we believe that in the long-term, the premiumization strategy remains compelling,” Emperador said.
Meanwhile, Emperador’s whisky segment continued to perform better than the industry in many markets as single malt remains a bright spot in the total alcohol beverage industry as it is one of the few growing categories.
The company’s single malt portfolio with brands such as The Dalmore, Jura, and Tamnavulin, which are among the top 15 single malts by volume globally according to industry reports, is well-positioned to withstand headwinds.
The group is also set to double the current capacity of the distillery before the end of this year while it also expands its warehouses to accommodate aging of liquids from the expanded Dalmore distillery.
“The fundamentals of the company are intact and long-term trajectory is still on track. Once global economies improve and consumer demand for premium and luxury products returns, our performance will see new heights. The company continues to strategically invest in the business for the future,” said Emperor president Winston Co.
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