San Miguel Pure Foods Co. Inc. chalked up a 37-percent growth in six-month net profit to P2.5 billion as election spending boosted sales.
The first semester performance was driven by its branded value-added and agro-industrial businesses, Purefoods told the Philippine Stock Exchange.
In a statement on Monday, Purefoods noted that its operating income had also risen by 31 percent year-on-year to P3.6 billion.
The agro-industrial business—which consists of feeds, poultry and Monterey fresh meats—posted combined revenues of P37.1 billion, 8 percent higher over the same period last year.
The company reported that this segment was boosted by higher poultry volumes and favorable selling price of chicken and feeds.
Purefoods’ milling business continued to be weighed down by lower wheat prices. “It continues to focus on increasing sales of customized and specialty premixes, which provide more stable margins and limit the impact of wheat price movements to the milling business,” the company said.
The branded value-added business, meanwhile, posted P12.1 billion in revenues, rising by 8 percent from last year.
This was on the back of higher volumes from dairy, spreads, processed meats and biscuits, coupled with improved efficiencies and lower material prices.
On the other hand, Purefoods said its food service business continued to see growth from out-of-home food consumption and the growing number of convenience stores nationwide.