Listed appliance manufacturer Concepcion Industrial Corp. (CIC) saw its profits nearly double to P944.87 million driven by high consumer demand for cooling devices.
In a statement on Thursday, CIC, which mainly manufactures air conditioning and refrigeration units, said its net income surged by 93 percent.
Meanwhile, net sales in the January to September period jumped by 25 percent to P13.6 billion, driven by growth in its consumer segment.
“This growth was largely driven by strong performance in the first half, owing to effective sales strategies, channel and distribution expansion, a broader product portfolio and robust consumer demand due to the hot weather,” said CIC, whose brands include Midea, Toshiba and Carrier.
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The consumer business saw a 31-percent uptick in sales to P10 billion, buoyed by growth across the air conditioning, refrigeration and appliance categories. Air conditioning product sales rose by 27 percent, while refrigeration product sales soared by 42 percent.
The commercial business posted a 13-percent climb in sales to P3.6 billion on high demand for air conditioning equipment, although CIC recognized that declines in the elevator and escalator segments tempered growth.
Laundry and kitchen products also contributed to the increase, CIC said.
In the third quarter alone, CIC’s earnings surged by 57 percent to P218.2 million.
“Our third quarter results reflect our proactive market strategies and extensive product portfolio,” Ariel Fermin, CEO of CIC, said in a statement.
“As we enter the fourth quarter, we are well-prepared for seasonal demand and remain focused on building momentum for the coming year,” Fermin added.
Operating expenses were up by 23 percent to P3.4 billion due to sales-related costs, including advertising and promotions, CIC said.