URC earnings dip but core income up 4%

INQUIRER FILE PHOTO

MANILA, Philippines — Lower foreign exchange gains resulted in a 2-percent decline in the first-quarter earnings of Universal Robina Corp. (URC) to P4.3 billion, offsetting higher sales from its domestic and international businesses.

Still, the Gokongwei-led snacks maker expects improving consumer confidence and sentiment to provide a boost this year.

“We look forward to accelerating our forward momentum and continuously improving URC’s performance,” URC president and CEO Irwin Lee said in a statement on Thursday.

The company behind V-cut potato chips and C2 green tea saw its sales climb by 7 percent to P45.3 billion due to higher volumes across most of its units.

Core net income, which excludes the one-time foreign exchange gain recognized in the same period last year, rose by 4 percent to P4.1 billion.

“We are starting the year on a high note, delivering impressive volume growth across our key branded businesses in the first quarter of 2025,” URC president and CEO Irwin Lee said in a statement.

READ: URC delivered P12.5-B income in 2024

Business segments expand

Broken down, the branded consumer foods segment registered a 6-percent uptick in sales to P29.7 billion during the period.

Domestic sales reached P20.1 billion, up by 4 percent on the back of strength in the ready-to-drink beverages, snacks and confectionery categories.

Meanwhile, international sales jumped by 10 percent to P9.6 billion, with Vietnam posting the steepest increase despite weak sentiment in Southeast Asia. Sales in Malaysia and Indonesia were flat, according to URC.

The agro-industrial and commodities group grew its sales for the quarter by 8 percent to P15.6 billion.

This was due to higher sales volumes from the sugar and flour businesses, tempering the weakness of animal feed sales. The latter was affected by declining Philippine hog populations, resulting in lower sales volumes, URC said.

READ: Universal Robina brings online P5.4-B flour mill in Quezon