RFM reports 47% growth in Jan-Sept profit

Food and beverage firm RFM Corp. expects profit to continue to surge for the rest of the year as households, more confident amid better economic conditions, start to spend more.

In a statement, RFM said it had posted a net income of P440.6 million in January to September this year, up by 47 percent from year-ago level.

This was on the back of a 13-percent growth in sales to P7.85 billion.

“We are likewise benefiting from better yields and costing due to scale economies as we reach higher volumes in our key brands, such as Selecta ice cream, and Fiesta spaghetti,” RFM president and CEO Jose Concepcion III said.

He said RFM’s income growth was accelerating due to faster growth posted by its higher margin businesses. The lower commodity input costs this year also helped boost the firm’s bottom line.

Concepcion said the country’s positive economic climate boosted consumer confidence and spending.

“As we see another Christmas season prior to an election year, we sense there is more generosity in the air. This will lead to continued growth practically in all the company’s brands, led by Selecta ice cream, White King Fiesta pasta, Selecta milk and Sunkist juice,” he said.