Universal Robina Corp., the biggest snack food maker, posted a net income of P3.03 billion in the first quarter of 2019, up 2.9 percent from P2.95 billion year-on-year, driven by a strong recovery from domestic sales.
URC said in a disclosure to the stock exchange Thursday first-quarter net sales rose seven percent to P33.3 billion, led by sales from the Branded Consumer Foods segment, which increased five percent to P25.7 billion.
BCF domestic revenues in the quarter climbed 11 percent to P15.6 billion driven, boosted by the good performance of all categories, with coffee returning to growth after three years of decline.
International sales, meanwhile, declined three percent in peso terms to P10.2 billion due to foreign exchange devaluation in Australia and New Zealand.
International operating income grew five percent from last year’s as margins expanded despite weaker currencies.
URC said Vietnam was still on track on its path to recovery, as sales increased 7.9 percent while those in Thailand declined 3.8 percent.
“We are very pleased with the results especially the stronger top line momentum coming from our businesses in the Philippines,” said URC president and chief executive officer Irwin Lee said.
While the environment continues to be very challenging, the transformation plans we have set in place have started to gain traction. The entire URC team is now heavily focused on execution with the aim of sustaining what we have achieved for the balance of the year and beyond. We also expect to hold or slightly improve our operating margins for the year,” he added.
Sales from agro-industrial and commodities businesses increased 16 percent to P7.2 billion, while operating income remained robust at P1.4 billion, up 17 percent from a year ago.
