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MANILA, Philippines – Century Pacific Food, Inc. (CNPF), reported a net income increase by 44 percent to P2.16 billion during the past nine months of 2016.
The net income growth of the company is brought by its lowered input costs, branded food business expansion, and new coconut subsidiary consolidation. Recently, the company acquired Century Pacific Agricultural Ventures, Inc. (CPAVI).
The management also reported a robust third quarter with returns totaled at P798 million, which is a 42 percent increase from last year’s record. In addition, the reported 3Q profit jumped 10 percent from second quarter’s report. Revenues for the year-to-date climbed to P21 billion, a 22 percent advance.
Oscar Pobre, CNPF’s Chief Finance Officer, stated that the double-digit growth was maintained by its branded segments due to various initiatives in sales and marketing. This is also partnered by maintained consumer spending. Century Pacific’s core offerings benefited from increased demand for affordable, healthy, and convenient items. Product innovations, which are recently launched, also played a role.
Original Equipment Manufacturer (OEM) tuna exports rebound and expansion of coconut exports segment supported local sales. This pushed the revenue upwards during the third quarter with a double-digit growth.
Pobre added that the company is wary of some slack in the company, which is influenced by some factors. These elements include school openings postponement and lack of election spending during the second half of the year. Due to El Niño phenomenon, prices of coconut were also increased and served as a challenge.
Regardless of the market disputes, the company is still moving towards profitability, primarily due to maintain satisfactory input costs across its core businesses. Moreover, improved contribution of higher-margin products profit and efficiency returns are credited.
Operating profit margins for the past nine months rose from 12 percent to 14 percent against last year. Alternatively, the net income margins increased from nine percent to 10 percent in 2015.
Pobre stated that the management is positive that they will meet their goals and consumption in the country will sustain its healthy status.
The company anticipated to uphold its double-digit growth rate for the entire year.
For over three decades, the company has a good record of building brands, which include Argentina Corned Beef, Angel Milk, Century Tuna, 555 Sardines, and Birch Tree Powder Milk.
The license to Kamayan trademark for North America has been recently obtained by the company. Kamayan is one of the U.S. market’s top names for shrimp paste. Shrimp paste is a popular Philippine cuisine condiment more known as bagoong.
Here’s some additional pieces of information on CNPF.
Top 10 Players’ Sentiment
Participants with a 100% Buying and Selling Activity from Nov-02-2016 to Nov-15-2016 at 03:29PM:
- 11 out of 46 participants or 23.91% of all participants registered a 100% BUYING activity
- 9 out of 46 participants or 19.57% of all participants registered a 100% SELLING activity
- Top 10 Players’ Buying Average: 16.3730
- Top 10 Players’ Selling Average: 16.4151
30-day Foreign Fund Flow
On a 30-day trading period, CNPF is on a Net Foreign Selling worth PHP22,585,497.00.
CNPF has a low-risk level based on our proprietary risk level indicator.
Low volume is visible since the last week of October 2016.