San Miguel Pure Foods reports higher first-half results

Consolidated revenues up 4 percent from last year

San Miguel Pure Foods reported consolidated revenues for the first half of 2014 at PHP49.2 billion (US$1.12 billion), 4 percent more than the same period in 2013. It said growth was driven primarily by its agro, milling and dairy businesses.

San Miguel’s operating income grew 12 percent to PHP2.7 billion, on the back of strong performance of the company’s poultry and meats, flour and dairy businesses, which benefitted from increased volumes, higher selling prices, and better efficiencies in hog-raising.

Net income reached PHP1.7 billion, while EBITDA was PHP4.1 billion.

The agro and milling businesses, which consists of feeds, poultry and meats and flour, registered combined revenues of PHP38.7 billion, a 7 percent increase from last year. The higher volumes are attributed to strong retail outlet sales for poultry and meats and increased demand for customized flour, premixes and specialty flours.

Branded value-added businesses generated combined revenue of PHP10.2 billion, 1 percent higher than the same period in 2013.

The company reported growth in its foodservice channel as a result of the expansion of its customer base, reflecting greater demand for its products and services.