PCPPI income surged by 192% in 2012
Beverage-maker Pepsi-Cola Products Philippines Inc. (PCPPI) grew its net income last year by 192 percent to P844 million on the back of a double-digit growth in volume and softer sugar prices.
For the fourth quarter alone, net profit doubled to P147 million on gross sales of P6.2 billion.
Volume grew by 21 percent for the quarter, bringing full-year volume growth to an average of 15 percent across brands and categories.
“The company’s continued investment in marketing and distribution as well as pack-price and flavor innovations have been fruitful as we outperformed industry growth for yet another quarter,” PCPPI president Partho Chakrabarti said in a statement.
“On the back of this remarkable performance, we expect to improve further in 2013 with prudent cost management, increased marketing efforts and a generally positive economic environment. We will continue to innovate with brands that will satisfy the thirst-quenching needs of the Filipino consumers,” Chakrabarti added.
Gross sales for the full year rose by 14 percent to P22.73 billion.
Cost of sales, which consists primarily of raw and packaging materials, direct labor and manufacturing overhead, increased by 6 percent from the previous year, driven mainly by higher sales volume. However, as a percentage of net sales, cost of sales decreased by 6 percentage points due to the price rollback of sugar, a major cost component.
As a result, the company’s gross profit reached P5.29 billion, an increase of 44 percent from 2011.
