Pepsi-Cola 6-month net hits P559M

Beverage-maker Pepsi-Cola Products Philippines Inc. (PCPPI) posted a first semester net profit of P559.07 million, flat from year-ago level, due to start-up losses from its snack manufacturing business.

For the second quarter, headline net profit rose by 8.5 percent year-on-year to P399.81 million,  PCPPI said in a regulatory filing.

But taking out extraordinary items from the startup snacking business, PCPPI’s net income grew by 10 percent year-on-year and 15 percent for the quarter.

PCPPI’s revenue in the first six months grew by 13 percent year-on-year to P18 billion, outpacing volume growth.  The growth was attributed to strong focus on revenue management and new product initiatives.

“Consumers loved our new innovations such as Mountain Dew Blue Shock, Mountain Dew Live Wire and Gatorade Fierce Green Apple” PCPPI president Furqan Ahmed Syed said.

Cost of goods sold rose by 17 percent for the quarter and for the first half of the year, driven by sharp increase in sugar prices which was partially offset by significantly higher productivity versus last year.

PCPPI booked a gross profit of P2 billion for the quarter, rising by 11 percent year-on-year. This brought first semester gross profit to P3.6 billion, up 5 percent year-on-year. Doris Dumlao-Abadilla