CNPF net up 10%

Po family-led Century Pacific Food Inc. (CNPF), the country’s biggest canned food producer, grew its first quarter net profit by 10 percent year-on-year to P701 million on higher earnings across all business units.

Total revenue rose by 17 percent year-on-year to P7.48 billion in the first quarter, driven by the strong performance of its exports business and branded sales unit.

“This quarter’s topline performance attests to the success of our strategy of diversifying the business between branded and OEM (original equipment manufacturer), domestic and international. This approach is serving us well, especially in the current environment of rising input costs and a weaker peso,” said CNPF chief finance officer Oscar Pobre.

CNPF’s OEM segment posted a 40-percent rise in revenue, attributed to the continued recovery in the tuna export market which began in the second half of last year.

CNPF’s gross profit rose by 8 percent while operating income grew faster at 11 percent year-on-year on the back of various cost-saving initiatives.

The company’s gross profit and operating margins ended the quarter at 28 percent and 13 percent, respectively, despite higher commodity prices and weaker domestic currency.

The performance in the first quarter translated to return on equity of 22.4 percent.

In the last four decades, CNPF has developed a roster of household names including Century Tuna, Argentina Corned Beef, 555 Sardines, Angel Milk, and Birch Tree Powder Milk.