Food canner Century Pacific Food Inc. on Wednesday said its net income grew 11 percent last year to P3.1 billion, from the previous year’s P2.83 billion, mainly due to the strong sales of its branded business.
Consolidated revenues of the maker of Century Tuna and 555 Sardines brands expanded at a slower pace at 7 percent to P40.6 billion, from the previous year’s P37.88 billion.
The branded business, comprised of the marine, meat and milk business units, saw sales go up by 12 percent to P31.2 billion, accounting for 77 percent of overall revenues.
In contrast, the commodity-linked tuna and coconut unbranded business, whose revenues accounted for the balance of 23 percent, saw sales fall by 6 percent year-on-year on the back of lower commodity prices.
Favorable commodity price trends led to improved profitability for the company overall, with consolidated gross profit growing faster than sales, up by 20 percent year-on-year, translating to a 250-basis point rise in overall gross profit margin to 24 percent.
Amid the ongoing threat from the coronavirus disease 2019 (Covid-19) leading to the enhanced community quarantine throughout Luzon, the company assured the public of the continued supply of its products.
“In these challenging times, we recognize the critical role we play in ensuring enough of our products are available to those who need them the most. Thanks to the support of the Department of Trade and Industry and the Inter Agency Task Force, we are able to maintain a smooth flow of goods and operate with enough capacity, despite the use of a skeleton workforce,” said Chief Finance Officer Oscar Pobre.
“We will continue working closely with the government to ensure unhampered operations of our company and our supply chain partners. We also remain in close touch with partner local government units for the supply and donation of various food products. Finally, the health, safety, and financial protection of our employees remain paramount and we continue to provide them with care and financial aid,” he added.