MANILA -- Gokongwei-led food manufacturing giant Universal Robina Corporation (URC) on Monday said its profit declined by 23 percent in the first half of 2018, driven by lower operating income and lower foreign exchange gains.
In a disclosure to the local bourse, URC said its net income amounted to PHP4.9 billion in January to June from PHP6.25 billion during the same period last year.
The company attributed the decline in operating income to lower coffee volumes and higher selling and distribution expenses.
Its net sales reached PHP64.4 billion in the first half of the year, up 6 percent versus last year, driven by strong growth in the International and Agro-Industrial and Commodities Divisions.
Sales of domestic and international branded consumer food and beverage products reached PHP50.4 billion in the first half, an increase of 2 percent compared to last year.
URC’s farm, feeds, sugar and flour related businesses, which were formerly called Non-Branded Consumer Foods Group, were strong contributors to first-half results.
Sales amounted to PHP13.2 billion, a 22-percent increase against last year, driven by higher volumes in sugar, flour and feeds, and better selling prices in hogs.
Robina Farms and feeds products grew by 15 percent year-on-year.
URC Flour posted 10-percent growth; while sugar and renewable products like bioethanol and power cogeneration achieved 35-percent growth. (PNA)
