AgriNurture swings to P191 million earnings

MANILA, Philippines — Listed agriculture trading firm AgriNurture Inc. (ANI) posted a net income of P191 million in 2017, a reversal of the P231 million loss from a year ago on the back of higher local sales.

In a regulatory filing, the company said consolidated sales of goods and services surged three-fold to P2.1 billion while gross profit jumped six-fold to P624 million.

Local distribution sales increased 85 percent to P466 million following the addition of rice trading business and the increase in the number of  distribution channels with supermarket outlets.

Export sales also improved four percent to P76 million due to higher coco juice and banana sales following stable selling prices in the international markets.

Foreign operations contributed the bulk of 69 percent of the consolidated sales, while local operations accounted for the remaining 31 percent.

Retail and franchising sales also went up 44 percent to P107 million due to increase in sales of fruit shakes and coffee, including increase in franchise revenues and royalties during the year.

Foreign trading operations likewise jumped to P1.45 billion due to the consolidation of operations of Fucang which is 51 percent owned by the company as of July 2017.

Operating expenses more than doubled to P501 million from P230 million due to the increase of manpower cost for regular employees and depreciation and rental expenses.

ANI said it would continue to expand its core business and increase coverage in the distribution, retail and export sales channels while its retail arm is expanding the franchise network overseas.

The company is involved in various agro-commercial businesses focusing on trading of grains and fresh produce in the Philippines and export markets.