EconomyForex

SMFB posts 68% earnings growth

1 Mins read

SAN MIGUEL Food and Beverage, Inc. (SMFB) reported a 68% net income growth to P24.2 billion in the first nine months of 2021, driven by double-digit increases in sales of its business units as well as its cost-management efforts and operational efficiencies.

In an e-mailed statement on Wednesday, SMFB said its consolidated earnings before interest, taxes, depreciation, and amortization (EBITDA) increased by 37% to P41.7 billion.

Meanwhile, the listed food and beverage firm saw a 14% year-on-year increase in revenues to P221.7 billion.

The food business saw its consolidated EBITDA surge by 84% to P14.9 billion. Its revenues for the period grew by 13% year on year to P108.9 billion, which is also “8% better than 2019 pre-pandemic revenues.”

SMFB said its protein segment saw revenues increase by 20%, while its revenues for the animal nutrition and health segment grew due to higher volumes and because of the addition of new feed mills.

Meanwhile, its prepared and packaged food and flour unit “continued to reflect positive performance” driven by home consumption and recovery in its clients’ operations.

Its beer business likewise reported a 27% growth in its net income to P14 billion, while revenues increased by 13% to P82.1 billion.

SMFB’s spirits business saw profits surge 43% to P3.2 billion as it posted a 21% topline growth to P30.7 billion. The company said the unit saw a double-digit increase in volumes.

“Our results highlight the strength and breadth of our food and beverage portfolio. While there are still impacts from the pandemic, we are hopeful that the worst is behind us and we are on the path to a new, better normal,” said Ramon S. Ang, president and chief executive officer of SMFB.

SMFB shares declined 0.53% or 40 centavos to close at P75.50 each on Wednesday. — Keren Concepcion G. Valmonte

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