LT Group (LTG) Inc. is keeping its guarded optimism going to the second part of the year amid persisting high interest rates that stoke an inflationary environment.
Lucio Tan III, LTG president, said the company’s fundamentals remain “solid” and that the group’s “strong business models, well-known brand franchises, and stable financial foundations of the portfolio companies should help the firm manage through the economic challenges this year.”
“We are excited about the future. Our fundamentals are solid. While we are cautiously optimistic about the macroeconomic trends as interest rates are likely to stay higher for longer, while the inflationary environment may stay longer than expected,” he said.
Tan said a decrease in inflation and interest rates would likely help curb the ongoing increase in manufacturing costs. This change could positively affect LTG’s various businesses and potentially stabilize and increase their volumes.
“As we move forward together, we will do so with unity and resilience. We remain steadfast in our commitment as we work towards our shared vision,” he said.
Lucio Tan, LTG chairman, said 2023 was a year of transition as the group welcomed the younger Tan as its new president.
LTG closed 2023 with a profit of P25.42 billion, a bit higher than the P25.14 billion reported in 2022.
The conglomerate declared cash dividends worth P12.99 billion, or P1.20 per share, out of its 2023 profit representing a 51.7 percent payout rate.
