LEADING food manufacturer Century Pacific Food Inc. is keeping its goal of growing net profit and revenues by 10-15 percent each year for the next two to three years.
Century president Christopher Po told reporters after the company’s annual stockholders meeting on Tuesday that moving forward, the food company would also like to maintain a 7-8 percent annual return on sales.
The company is also looking at potential companies to buy and is in various stages of discussions, Po said. “We’re on the hunt for acquisitions,” he said.
This year, Century has earmarked P820 million for capital spending, about double the level of capital outlays last year. About P450 million of this year’s capital expenditure budget will be to put up a cold storage plant, which Po said would allow the company to buy raw materials when prices are favorable.
In the food manufacturing business, stability of prices of inputs – like in the case of tuna – is seen very crucial.
The upcoming cold storage plant will rise beside Century’s tuna canning plant in General Santos City by the end of this year.
Po also announced during the stockholders meeting that Century was repositioning Swift – the meat business acquired from the Concepcion group – to target the higher end of the consumer market.
In his report to shareholders, Po said: “The company invested in the branding and product improvements of the Swift line of meat products to cater to the ‘premiumization’ trend observed as segments of the market become more demanding but are willing to pay for better product performance.”