MONDE Nissin Corp. said last Thursday it incurred a net loss for 2022 of P13.01 billion from the previous year’s income of P3.24 billion, mainly due to its veggie meat business.
The company that makes “Lucky Me!”-brand noodles and “Sky Flakes”-brand biscuits said it incurred a non-cash, non-operating impairment of the intangible assets of Marlow Foods, which owns Quorn and Cauldron, the company’s alternative meat business.
Revenues grew 6 percent to P73.9 billion from the previous year’s P69.28 billion, aided by the recovery of noodles from the domestic market.
For the fourth quarter alone, it had close to 12 percent growth in sales to P20 billion. Net income for the quarter slid 10 percent to P958 million.
Net sales for the full year of the company’s Asia-Pacific branded food and beverage increased by 8 percent to P58.6 billion, mainly driven by price increases in all categories and especially strong volume growth in biscuits, beverages and culinary.
Domestic business grew 9 percent year-on-year to P55 billion for 2022, due to the growth surpassing pre-pandemic levels in biscuits, beverages and culinary, and the strong recovery in noodles.
International revenue, meanwhile, declined by 4 percent to P3.5 billion due to a temporary slowdown as measures to ensure global compliance were strengthened.
Core gross profit for the full year decreased by 7 percent to P18.2 billion with core gross margin down 520 bps to 31 percent due to commodity cost inflation, partially mitigated by price increases.
Revenues of meat alternative was flat on an organic basis due to price increases, strong growth in foodservice and market share gain in the United Kingdom retail business.
On a reported basis, revenue for the full year increased by 1 percent to P15.4 billion.
“While retail sales remain challenged, Quorn UK and ROW grew 1.4 percent and 5.4 percent year-on-year on an organic basis for the full year, respectively. The foodservice grew 51.5 percent year-on-year for the full year,” the company said.
Core gross profit for the full year fell by 17 percent to P5 billion, while core gross margin declined by 710 bps to 32.5 percent due to the dilutive effect of price increases versus inflation, lower volume, and higher overhead cost, the company said.
