Pure Foods net income up 6%

MANILA, Philippines - The food and beverage arm of diversified conglomerate San Miguel Corp. (SMC) posted a single-digit profit growth in the first half on the back of higher sales.

In a disclosure, San Miguel Pure Foods Co. Inc. (SMPF) said its net income hit P1.8 billion, up six percent from the previous year.

Consolidated revenues picked up four percent to P47.1 billion compared with a year ago.

“Revenues rose on the back of improved performance, increased volumes and better selling prices,” SMPF said.

This allowed the company to grow its first semester operating income to P2.4 billion, up 31 percent from last year.

Combined revenues for its feeds, poultry and meats, and flour businesses gained four percent while revenues of the poultry and meats business grew five percent.

“Revenues from the feeds business grew as the game fowl and aquatic segments posted double-digit growth,” SMPF said.

For the branded, value-added businesses, SMPF said “all categories posted volume and revenue growth driven by strong sales of SMPF core brands such as Purefoods, Tender Juicy, Star, Magnolia and San Mig Coffee.”

SMPF also continued in improving its business structure to accelerate growth in the branded value-added segment.

“This integration is seen to harness synergies, provide strategic focus, improve operational efficiencies, and deliver better results,” SMPF said.

SMPF owns the brands Purefoods-Hormel, Magnolia, Monterey, Star, San Mig Coffee, and B-Meg. It accounts for six of every 10 hotdogs and four of every 10 chickens sold in the country.