San Miguel Food 9-month net income up 4.5% to P27.5B

MANILA  -San Miguel Food and Beverage Inc. (SMFB) saw profits from January to September rise 4.5 percent to P27.5 billion amid sales and volume growth.

The listed food and beverage arm of conglomerate San Miguel Corp., said in a stock exchange filing on Wednesday that total revenues also grew by 6 percent to P276.7 billion.

“Despite the constantly evolving market conditions, we remain committed to delivering sustained growth and value to all our stakeholders,” SMFB president and CEO Ramon S. Ang said in a statement.

“Our confidence is rooted in the strength of our product portfolio and operational capabilities. More importantly, SMFB’s commitment to contributing to the nation’s food security remains as strong as ever, reflecting our dedication to playing a key role in our country’s growth and development,” he added.

SMFB’s beer business, via San Miguel Brewery, ended the nine-month period with a net income of P19.4 billion, up 20 percent. Beer revenues likewise rose 9 percent to P108.3 billion.

READ: San Miguel Brewery 9-month profit up 20% to P19.4B

It added that domestic beer sales increased 9 percent to P96.3 billion “due to effective marketing campaigns and expanded sales initiatives”.

“Revenue from its international operations, on the other hand, rose 9 percent, driven by robust demand from its Exports, Hong Kong, and South China markets,” the company said.

SMFB’s spirits business saw net income surge 62 percent to P5.5 billion while revenues gained 13 percent to nearly P39 billion.

The company noted this was due to higher sales volume and also “strategic pricing and effective promotions”.

The food business also closed the period with revenues of P129.4 billion, up 1.1 percent.

“Its outlook remains positive with anticipated cost benefits from declining raw material prices,” SMFB said in the filing.