Monde Nissin Q3 Profit Rises 1.8% to P2.29 Billion on Stronger Branded Food and Beverage Sales
Key Takeaways
- •Monde Nissin's third-quarter attributable net income rose 1.8% year on year to P2.29 billion from P2.25 billion.
- •Consolidated revenues grew 8.2% to P23.6 billion in the July-to-September quarter, driven by the branded food and beverage business.
- •Nine-month attributable net income climbed 21.9% to P8.12 billion as revenues increased 7.3% to P67.89 billion.
- •The protein business, anchored by the UK-based Quorn brand acquired in 2015, contributed P11.14 billion in revenues over the first nine months.
- •Shares of Monde Nissin closed 0.84% higher at P6 apiece on Wednesday following the earnings announcement.
Monde Nissin Corp. posted a 1.8% year-on-year increase in third-quarter attributable net income to P2.29 billion, up from P2.25 billion in the same period last year, as higher sales from its branded food and beverage business underpinned earnings. The branded food and beverage unit is the company's biggest, spanning household staples such as Lucky Me! instant noodles — a brand the company says leads the Philippine instant-noodle market — and Monde biscuits, making its results a useful gauge of everyday consumer demand in the Philippines.
Consolidated revenues for the July-to-September period rose 8.2% to P23.6 billion from P21.81 billion a year earlier, the Philippine-listed food manufacturer said in a statement on Wednesday.
“We delivered continued growth in our APAC BFB business in the third quarter, supported by pricing and volume growth in biscuits and our strategic growth category. Our domestic business also performed strongly during the quarter, while gross margin improved year on year,” Monde Nissin Chief Executive Officer and Executive Vice-President Henry Soesanto said.
For the first nine months of the year, attributable net income climbed 21.9% to P8.12 billion from P6.66 billion in the year-ago period.
Consolidated revenues for the January-to-September stretch increased 7.3% to P67.89 billion from P63.26 billion, driven mainly by the branded food and beverage business, which generated P56.76 billion in sales. The company's protein business contributed P11.14 billion in revenues over the same nine-month period. The protein unit is anchored by Quorn, the UK-based mycoprotein meat-alternative brand that Monde Nissin acquired in 2015.
“Our Protein business continued to make progress, with revenue growth on a constant-currency basis and strong growth in gross profit,” Mr. Soesanto said.
“Looking ahead, we remain focused on disciplined execution, prudent management, and advancing our strategic priorities across the Group. We will continue to monitor developments in input costs, foreign exchange, consumer demand, and the broader geopolitical environment, including the ongoing Middle East crisis,” he added.
Shares in Monde Nissin rose by five centavos, or 0.84%, to close at P6 apiece on Wednesday. The company went public on the Philippine Stock Exchange in June 2021 in what was then the country's largest initial public offering.
— Ashley Erika O. Jose, BusinessWorld
Source: Bworldonline
