MANILA, Philippines — Food manufacturing giant Monde Nissin Corp. reported a P625-million net loss in 2023—an improvement from the P13-billion loss it disclosed the previous year—due to impairment of assets in its meat alternative business.
In a stock exchange filing on Thursday, Monde said the noncash, nonoperating impairment of assets in Quorn Food totaled P10.1 billion after tax. An impairment refers to a permanent reduction in the value of an asset.
Meanwhile, attributable core net income grew to P7.63 billion from P6.59 billion, while revenues climbed by 8.43 percent to P80.17 billion on higher sales in its flagship Asia Pacific branded food and beverage segment (APAC BFB).
Earnings before interest, taxes, depreciation, and amortization (Ebitda) went up to P13.54 billion from P11.19 billion.
READ: Monde Nissin H1 2023 profit down 18% as sales slowed
The APAC BFB business grew its domestic sales by 12.6 percent to P65.9 billion on volume growth across all categories.
The company behind Lucky Me! instant noodles and SkyFlakes crackers said it expected a low single-digit revenue growth in the first quarter of 2024 “partly due to the timing of the Holy Week holiday in the Philippines.”
Quorn Foods saw revenues last year decline to P14.23 billion from P15.39 billion “due to continued category headwinds.”
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“We believe that a continued focus on cost reduction and improving efficiencies, aided by better trends in input costs, will reduce the risks of further substantial impairments,” Monde CEO Henry Soesanto said in a statement.
“Our input costs continue to improve, and we expect this to be reflected in our margins as the year progresses,” he added.