Pasig—(PHStocks)—San Miguel Pure Foods Company Inc. (PSE: PF) and its subsidiaries posted consolidated revenues of PhP107 billion in 2015, a 4% increase compared to the previous year. Operating income rose 18% to PhP7.6 billion, mainly driven by the strong performance of its Feeds, Processed Meats and Dairy businesses. Net income grew 24% to PhP4.8 billion, while EBITDA climbed 17% to PhP10.3 billion.
The Agro-Industrial business, consisting of feeds, poultry and Monterey meats, generated a 4% increase in revenues to PhP72.6 billion. The growth came mainly from its feeds business, which tempered the effects of a decline in chicken and poultry prices during the year. The business also benefitted from lower prices of some of its major raw materials.
Revenues of the company’s milling business increased by 3% to PhP10.3 billion due to increased revenues from its grain terminal operations and higher flour volumes, particularly in specialty and customized premixes. The latter cushioned the impact of lower selling prices amidst a glut in global supply.
Meanwhile, the branded value-added business, comprised of processed meats, dairy, spreads, coffee and biscuits, delivered the highest revenue growth among the company’s businesses. Combined revenues reached PhP25.7 billion, an 8% growth over the previous year. Higher volumes, better selling prices, new products, and improved distribution fueled this growth.
Its foodservice arm, Great Food Solutions, benefited from the growing preference for out-of-home consumption. It registered revenues amounting to PhP12.5 billion, a 10% increase over previous year.
The company’s outlook in 2016 is upbeat, bolstered by higher consumer spending that is expected to have a positive effect to the performance of all its businesses.