Century Pacific posts flat 9-month profit

Canned food firm Century Pacific Food, Inc. (CNPF) on Monday said profit grew slightly in the first nine months of 2017 on the back mainly of sustained double-digit growth in its branded consumer food business. (Photo: Century Pacific Food Inc./Facebook)

MANILA — Canned food firm Century Pacific Food, Inc. (CNPF) on Monday said profit grew slightly in the first nine months of 2017 on the back mainly of sustained double-digit growth in its branded consumer food business.

Consolidated net income rose by 2 percent to PHP2.2 billion for January to September due also to continued recovery in its original equipment manufacturer (OEM) tuna and coconut products export segment.

“The company however saw continued input price pressures which compressed profit margins compared to the same period last year,” the company told the local bourse.

As of September2017, it generated total consolidated revenues of PHP25.3 billion, a 21-percent sales growth year-on-year.

Branded food alone posted a 12-percent increase to PHP18.0 billion, while OEM exports grew over 45 percent to PHP7.3 billion.

“We continue to see healthy revenue growth despite our 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,” said CNPF Chief Finance Officer Oscar Pobre.

Pobre said OEM also 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.”

For the third quarter alone, the company behind household names Century Tuna, Argentina, 555, Angel, and Birch Tree, posted Php6.4 billion in branded revenues, representing an 11-percent growth versus last year and a 7-percent increase versus the second quarter of 2017.

The OEM business in the third quarter also posted year-on-year growth of 30 percent and sequential growth of 9 percent.