LT Group Inc. (LTG) saw its attributable net income rise 14 percent to a record P17.03 billion in the first half of 2026, driven mainly by higher earnings from its banking and tobacco businesses.

The conglomerate said Tuesday the profit increased from P14.97 billion in the same period last year, which made it its best first-half performance since its follow-on offering.

PNB remained the group’s biggest earner

Philippine National Bank (PNB) remained the group’s biggest earnings contributor at P8.21 billion, accounting for 48 percent of the total, while Fortune Tobacco Corp. (FTC) contributed P6.13 billion, or 36 percent.

Tanduay Distillers Inc. (TDI) contributed P1.57 billion, followed by Asia Brewery Inc. (ABI) with P377 million, Victorias Milling Co. with P295 million and Eton Properties Philippines Inc. with P290 million. Other businesses contributed P156 million.

PNB’s net income climbed 17 percent to P14.61 billion from P12.52 billion a year earlier.

Net interest income rose seven percent to P27.61 billion as gross interest income increased one percent to P35.14 billion while gross interest expense fell 15 percent to P7.53 billion due mainly to lower funding costs.

Net service fees and commission income grew nine percent to P3.06 billion, while other income increased to P4.13 billion from P1.71 billion, primarily due to higher gains from the sale of real and other properties acquired.

Helped offset 85% decline in net gains

These gains helped offset an 85-percent decline in net gains from trading, investment securities and foreign exchange activities to P212 million.

FTC, meanwhile, posted a 13-percent increase in net income to P6.16 billion from P5.46 billion, primarily due to higher equity earnings from its 49.6-percent-owned associate PMFTC Inc.

PMFTC’s profitability benefited from cigarette price increases implemented in March. Its offtake volume also increased two percent to 11 billion sticks as total industry volume grew at the same pace to 22.5 billion sticks.

PMFTC raised cigarette prices in March following the mandated five-percent annual increase in excise taxes under Republic Act 11346, which brought the tax to P69.46 per 20-stick pack.

“PMFTC is steadfastly committed to safeguarding public welfare by implementing robust measures that effectively prevent underage access to nicotine products — including proactive education of trade partners and the prominent placement of health warnings on product packaging and promotional materials,” the company said.

Illicit tobacco incidence lowered

LTG said sustained government enforcement and seizures had lowered illicit tobacco incidence, with further progress expected through year-end amid stricter port oversight and crackdowns on imported machinery used to manufacture illicit tobacco products.

TDI’s net income rose 16 percent to P1.58 billion as revenues grew nine percent to P16.68 billion on higher prices and sales volume. Its nationwide distilled spirits market share increased to 40.8 percent from 39.2 percent a year earlier.

ABI, however, saw net income decline to P378 million from P491 million as higher costs pulled its gross profit margin down to 22 percent from 25 percent. Revenues still rose two percent to P9.02 billion on improved sales volumes led by energy drinks and bottled water.

Eton Properties also reported lower net income of P291 million from P352 million due to one-time gains recorded in the previous year. Leasing revenues rose four percent to P949 million, while real estate sales increased 12 percent to P238 million.

As of the end of June, LTG had declared P6.49 billion in dividends, equivalent to P0.60 per share and a payout rate of 21 percent.