Leading local canned food producer Century Pacific Food Inc. posted a 9-percent increase in its net profit last year to P2.8 billion as revenue hit record highs despite a high-inflation environment.
Consolidated revenue grew by 15 percent to P39.7 billion, with the branded food business accounting for 75 percent of total business, CNPF disclosed to the Philippine Stock Exchange.
The branded food business expanded by 20 percent as all three subunits—marine, meat, and milk—registered higher sales on an expanding base. The company is behind consume brands Century Tuna, Argentina, 555, Angel and Birch Tree.
“Despite some headwinds last year in consumer sentiment due to inflation, demand for our products remained robust—exhibiting even faster than expected growth,” CNPF’s chief finance officer Oscar Pobre said.
CNPF is also a leading exporter of tuna and coconut products to foreign original equipment manufacturing (OEM) companies.
Meanwhile, revenue from the OEM units hit P9.9 billion, or 25 percent of company-wide sales. This represents a more tempered increase of 4 percent year-on-year on higher tuna and coconut prices.
Cash flow as measured by earnings before interest, taxes and depreciation (Ebitda) grew by 14 percent to P4.5 billion. Ebitda margins slipped by 10 basis points to 11.4 percent.
Pobre said 2019 was CNPF’s “year of innovation” with the introduction of a number of new products in our pursuit of long-term and sustainable growth. —DORIS DUMLAO-ABADILLA