GT Capital Holdings First Take: 1Q26 earnings disappoint on weak Auto and Property

Research evidence excerpt

GT Capital Holdings First Take: 1Q26 earnings disappoint on weak Auto and Property

J P M O R G A N Asia Pacific Equity Research

15 May 2026

GT Capital Holdings Underweight

GTCAP.PS, GTCAP PM

First Take: 1Q26 earnings disappoint on weak Auto and Price (15 May 26):Php466.00

Property Price Target (Dec-26):Php470.00

Our First Take: GTCAP posted 1Q26 core income of Php7.96bn (-9% y/y, +76%

q/q), representing 25%/25% of JPMe/Street FY26E vs the 27% average 1Q

contribution. The result was slightly below expectations, driven by margin squeeze

in auto and weaker real estate performance, partially offset by Metrobank and

MPIC. Reported net income came in at Php8.91bn (-3% y/y), cushioned by

Php1.9bn in CARS incentives received by TMP and a one-time Php3.8bn gain on

the sale of assets at Federal Land. Strategy, Real Estate, Consumer,

and Conglomerates

ACToyota Motor Philippines (TMP) posted 1Q26 net income of Php5.3bn (-16% y/y), Jeanette Yutan

with revenues declining 10% to Php62.4bn. Weak currency and an unfavorable (63-2) 8878-1188

model mix led to large GPM and OPM compression. jeanette.g.yutan@jpmorgan.com

J.P. Morgan Securities Philippines, Inc.

Metrobank’s 1Q26 earnings were in line with Consensus amid stable operating

trends and a small NII beat, offsetting the slightly weaker non-NII and costs.

Key Positives

TMP saw a sequential improvement in profitability with GPM/OPM expanding by

422bps and 535bps, to 13.2%/6.8%, respectively. This is partly due to the tamer

marketing and promotional intensity going into the start of the new calendar year.

Despite the volume sales decline of 6.5% y/y, TMP was able to maintain its market

share leadership at 49% as of end March 2026. TMP disclosed that selective price