LISTED San Miguel Food and Beverage, Inc. (SMFB) saw a 6% growth in its net income for the first half to P20 billion, led by higher sales across its categories.
Consolidated sales for the first six months rose by 4% to P192.9 billion, while operating income increased by 16% to P26.6 billion, SMFB said in a regulatory filing on Wednesday.
SMFB’s food business, led by San Miguel Foods, registered a 3% increase in first-half sales to P87.8 billion, led by double-digit revenue growth in prepared and packaged foods along with “resilient poultry sales.”
The food business doubled its first-half operating income to P6.4 billion, while higher volumes, improved pricing, and lower raw material costs led to a 41% increase in earnings before interest, taxes, depreciation, and amortization (EBITDA) to P10 billion.
“Key products such as Tender Juicy Hotdogs, Purefoods Luncheon Meat, Magnolia dairy, and San Mig Coffee also maintained strong sales,” it said.
SMFB’s beer segment, led by San Miguel Brewery, Inc., saw a 1% increase in first-half consolidated revenue to P75.1 billion, carried by better sales volume in the second quarter.
“The company expects stronger performance in the second half of 2024, supported by targeted sales initiatives and increased focus on specific channels,” SMFB said.
Meanwhile, SMFB’s spirits business, led by Ginebra San Miguel, Inc., had an 18% sales increase to P30 billion for the first half due to a 10% volume growth. Operating income rose by 31% to P4.4 billion.
“SMFB has had a strong start to the year, and we remain focused on leveraging our strengths to drive growth and efficiency,” SMFB Chairman Ramon S. Ang said.
“We are also committed to supporting our nation’s food security and economic growth by expanding access to essential products. We are very optimistic about the opportunities ahead and confident in our ability to deliver continued value to all our stakeholders,” he added.
SMFB stocks gained by 0.32% or 15 centavos to P46.70 apiece on Wednesday. — Revin Mikhael D. Ochave
