RFM profit up 9% in 9 months

MANILA, Philippines – RFM Corp., reported a net income of P683 million in the first nine months of the year, nine percent higher than the same period last year.

Total revenues reached P8.73 billion, up nine percent year on year.

RFM president and CEO Jose A. Concepcion III attributed the company’s strong nine-month performance to improved sales of branded consumers goods under Selecta ice cream, Fiesta Pasta and Selecta Milk.

 Ice cream sales sustained their double-digit rise behind the push for availability, affordability and visibility despite the onset of La Nina, Concepcion said.

The company’s P59 pasta-and- sauce dish TV campaign during the third quarter also supported Fiesta pasta’s momentum.

 RFM’s Royal pasta brand also launched its P135 pasta- and-sauce spaghetti dish bundle that improved topline.

Selecta Milk, meanwhile, continued to post strong growth behind strong sales of Selecta white milk line.

Soft prices in the flour business weighed down on total  revenue growth.

The discontinuation of traded products under the Dole brand offset growth in the consumer business, albeit to a small extent only, the company said.

 RFM expects to sustain this nine percent income growth for the last quarter of the year, supported by the launch of the Royal pasta-and-sauce dish pack, as well as the present momentum of Fiesta pasta, Milk and Ice cream sales.

Last year, the company reported a full year net income of P908.4 million or a increase of nine percent from the previous year.

Incorporated in 1957 as Republic Flour Mills, Inc., RFM is a branded food and beverage company known for nurturing and growing heritage local brands like Pop Cola and Sarsi, under its previous subsidiary Cosmos Bottling Corp., and Selecta, now under the joint venture with Unilever.

The company is also known for its major brands like White King Fiesta, Selecta Milk, Sunkist, and Swift, which are major brand players in the industry.