SMB income up 15% to P16.2 billion in 9 months

MANILA, Philippines — San Miguel Brewery (SMB), the flagship beer business of diversified conglomerate San Miguel Corp. (SMC),reported a net income of P16.2 billion in the nine months to September this year, up 15 percent year-on-year.

SMB attributed the strong results to renewed economic activities as domestic and international markets have reopened due to the easing of COVID-related mobility restrictions.

Consolidated revenues amounted to P99.0 billion, up 21 percent from the same period last year, on the back of higher domestic and international volumes.

SMC president and CEO Ramon Ang said SMB has been the most affected by the pandemic because of restrictions not just throughout the country, but also in its international markets.

“But because of its strong, iconic brands and the agility of our people to respond to rapidly changing market conditions, SMB has remained resilient and has sustained its strong momentum,” he said.

Improved operational efficiencies resulted in a 22 percent improvement in operating income to P22.2 billion.

“This reflects the fundamental strength of not just the beer business, but overall, SMC’s diversified portfolio, which has allowed us to weather challenges. With our economy back in full swing and our major markets reopened, we’re even more upbeat and positive about our full-year prospects, heading into the holidays,” Ang said.

SMB posted robust domestic results with the further easing of restrictions beginning end of March, which paved the way for the reopening of on-premise outlets.

This was supported by effective volume-generating efforts and marketing programs across traditional and modern trade channels executed by the San Miguel Pale Pilsen, Red Horse Beer and San Mig Light brands, among others.

As a result, total domestic revenues reached P88.4 billion, up 19 percent from 2021.

SMB’s international operations likewise sustained its positive performance, registering higher volumes in the first nine months.

This was attributed to consistent volume gains in its Thailand, Indonesia, and export operations, even as the Hong Kong, South China, and Vietnam markets continued to be hobbled by pandemic restrictions.