Tanduay boosts profit, maintains market leadership

MANILA, Philippines — Lucio Tan-owned liquor company Tanduay Distillers Inc. has maintained its market leadership in 2024 as its profit surged behind strong sales volumes.

Tanduay reported a net income of P2.15 billion last year, up by 37 percent from P1.57 billion a year ago.

The growth was attributed to a combination of higher sales volumes in both liquor and bioethanol as well as strategic price increases that boosted segment revenues by 13 percent to P33.85 billion.

Tanduay strengthened its leadership in the Visayas and Mindanao despite economic headwinds, including inflationary pressures and weather-related disruptions that impacted consumer spending.

The company maintained commanding market shares of 70.6 percent in Visayas and 79.6 percent in Mindanao.

On a national scale, however. Tanduay’s market share for distilled spirits slightly dipped to 32.2 percent from 32.9 percent in 2023 due to heightened competition in the sector.

With its robust financial performance, strategic initiatives and continued market leadership, Tanduay remained a key pillar of the Lucio Tan Group’s success in 2024, significantly contributing to the conglomerate’s earnings.

Last year, Tanduay divested its investment in Asian Alcohol Corp. in a strategic move to streamline its portfolio and focus on core operations.

The sale, valued at P1.8 billion, is structured with a four-year payment term and includes an upfront cash payment of P480 million.

The transaction aligns with the company’s long-term vision of optimizing its business and enhancing economic viability.