Pure Foods breaches P100-B revenue mark for1st time

MANILA, Philippines - San Miguel Pure Foods Co. Inc. posted a slight decline in its net income to P3.8 billion last year from P4.1 billion in 2013 despite higher revenues.

Pure Foods said revenues last year breached the P100-billion mark for the first time due to higher volumes and better selling prices across most of its businesses. Revenues reached P103 billion in 2014, a three-percent growth from the previous year.

As a result of higher revenues, better efficiencies, and lower wheat costs, the firm said operating income rose 17 percent year-on-year to P6.5 billion.

The food processing unit of San Miguel Corp. said combined revenues of the agro-industrial and flour milling businesses improved six percent year-on-year on account of higher volumes and favorable selling prices.

“Growth was helped by the expansion of exclusive franchise outlets such as Magnolia Chicken Stations, Monterey Meat Shops and Kambal Pandesal and Food Service,” the firm said.

Revenues for the branded, value-added business meanwhile, grew two percent year-on-year on the back of logistical constraints resulting from congestion in Manila’s main ports, which significantly affected volumes.

Pure Foods said the company‘s recent acquisition of the La Pacita brand signals its entry into the biscuits category in line with its strategy of growing its value-added business.

“The company continues to actively look for opportunities to grow its portfolio through acquisitions,” Pure Foods said.