Century Pacific posts 9% higher profit in H1

MANILA, Philippines — Po family-led food and beverage company Century Pacific Food Inc. reported a net income of P3 billion in the first half,  nine percent higher than  the  P2.7 billion recorded  a year ago on higher revenues.

Consolidated revenues rose by 15 percent to P31.3 billion.

CNPF executive chairman Christopher Po said results remained upbeat even as he recognized cost pressures, although he noted that these were starting to ease.

“We are grateful for the continued upbeat business results, despite turbulent operating conditions. Entering the second half of the year, we are seeing some respite as cost pressures begin to ease for some inputs like tuna, packaging, and freight. We are still pursuing a mid-teens topline growth for the year,” he said.

Po said the group remains cautiously optimistic and that it would  continue to closely monitor the situation on the ground.

“Hopefully, we can engineer a soft landing for CNPF and end the year with decent business results,” he  said.

The company’s milk business continued to be a major pillar of growth for Century Pacific.

“We are pleased with how the milk team navigated through this challenging time to deliver strong business results,” Po said.

CNPF’s core segments, marine and meat, likewise saw strong mid-teens growth for the period. Overall,  consumers continued to prioritize market leaders and value-for-money offerings amid an inflationary environment, resulting in sustained resilient demand.

The  branded business, which comprises the  majority of its topline, is composed of marine, meat, milk, and  other emerging segments, catering primarily to the domestic Philippine market.

“The environment has been tough for the milk category, but we’re grateful that our efforts translated to a year-on-year revenue growth of 23 percent in the first half. BirchTree’s market share increased from 22 percent to 24 percent during this time,” said Pyrus dela Cruz, vice president and general manager of CNPF’s milk division. CNPF launched a new milk product last year, Choco Hero, its entry into the Choco Malt milk space.

CNPF’s tuna and coconut OEM exports business rebounded, growing by six percent year-on-year on the back of favorable commodity prices and forex rates and the easing of supply chain pressures.

Alongside its strong business performance, CNPF acquired ‘Ligo’, a heritage brand known for its marine products. CNPF took over plant operations in Zamboanga in the second quarter.