Century Pacific hikes profit to P2.2 B

MANILA, Philippines — Century Pacific Food Inc. (CNPF) reported a two percent growth in its nine month income to P2.2 billion.

“This was driven primarily by sustained double-digit growth in its branded consumer food business and a continued recovery in its OEM export segment. The company, however, saw continued input price pressures which compressed profit margins compared to the same period last year,” CNPF said.

As of the end of September, CNPF generated total consolidated revenues of P25.3 billion, representing a 21 percent growth year-on- year.

 The branded food segment alone registered a 12 percent increase to P18 billion, while OEM exports grew by more than 45 percent to P7.3 billion.

CNPF chief finance officer Oscar Pobre said the company continues to see healthy revenue growth despite higher base during the third quarter of last year.

“Branded food in particular continues to be driven by increases in sales volume across all segments- marine, meat, and milk. OEM, on the other hand, saw a combination of higher volumes and higher average selling price, as global demand for both tuna and coconut remains strong and as we diversify into higher value products,” he said.

However, for the third quarter alone, CNPF reported a seven percent drop in income to P743.7 million. Revenues from the branded foods business grew 11 percent to P6.4 billion.

 The OEM business grew 30 percent in the third quarter.

“We continue to encounter elevated raw material prices and headwinds on our profitability metrics which are likely to remain up to middle of next year. Despite these challenges which we believe are cyclical in nature, we remain focused on delivering the company’s strategy of sustainable earnings growth over a longer time period,” Pobre said.

Moving forward, he is optimistic the company will maintain the strong momentum on its topline.

CNPF is the company behind household brands Century Tuna, Argentina, 555, Angel, and Birch Tree. It is also a leading exporter of OEM tuna and coconut products in the Philippines.