URC net income up 8% in H1

MANILA  -The Gokongwei family’s Universal Robina Corp. (URC)  booked higher earnings in the first six months of the year as sales grew and profit margins improved.

Net income from January to June rose 8 percent to P7 billion while core earnings, which removes the impact of non-recurring items, expanded by 11 percent versus the same period in 2022.

URC, part of conglomerate JG Summit Holdings, ended the period with total sales of P78.6 billion, up 11 percent.

“We are pleased that the company has maintained its sales momentum while showing improving margins against last year, despite higher input costs and inflationary pressures,” URC president Irwin Lee said in a statement on Friday.

During the six-month period, URC’s operating income climbed 16 percent to P8.6 billion, which the food and drinks manufacturing giant attributed to “resilient consumer demand across the region”.

“Margins expanded versus last year despite generally higher commodity costs, as the company saw the full year impact of the necessary pricing moves executed in 2022,” it said in the statement.

URC’s branded consumer foods division booked sales of P54.1 billion during the period. The Philippines segment grew 7 percent to P37.4 billion in sales while international revenues were up 7 percent to P16.8 billion, driven by businesses operations in Vietnam, Malaysia, and Myanmar.

Moreover, agro-industrial & commodities sales surged 23 percent to P23.8 billion, driven by higher selling prices.

“The company will continue to prioritize profitable growth on the back of our strong brands and consistent operating discipline. No matter the external environment, URC takes pride in continuously delighting consumers with good food choices,” Lee said.