GINEBRA San Miguel, Inc. (GSMI) on Thursday said it posted a 120% increase in net income to P1.04 billion in the January-to-March period, compared with last year’s P474 million as advertising campaigns helped the company’s sales volume grow.
“Our continuous efforts to invest in strengthening Ginebra San Miguel’s brand equity, and build a deeper connection with consumers, carried us through these uncertain times,” GSMI President Ramon S. Ang said in a statement.
The company focused on sustaining the brand equity of Ginebra San Miguel, Vino Kulafu, and even put GSM Blue in the limelight.
It added that its flagship advertising campaign titled “Bagong Tapang sa One Ginebra Nation” helped volumes improve by a record 29% from last year.
Sales grew 52% year on year to P11.34 billion.
The company produces gin Ginebra San Miguel and distilled spirits, which include GSM Blue Light Gin and GSM Blue in Mojito, Margarita and Gin Pomelo, Ginebra San Miguel Premium Gin, Antonov Vodka, Don Enrique Mixkila, Anejo Gold Rum, Primera Light Brandy, and Chinese wine Vino Kulafu.
The spirits segment of San Miguel Food and Beverage, Inc. said its operating income also soared by 88% year on year to P1.3 billion.
“Complementing our strategy of leveraging on the strength of our brands, was a well-coordinated, quick return-to-trade strategy, upon the easing of ECQ (enhanced community quarantine) and implementation of general community quarantine,” Mr. Ang said.
The company saw a 65% profit increase in 2020 to a record P2.76 billion, while consolidated revenues went up by 25% to P36.2 billion despite liquor bans amid the quarantine.
“We also made our products more accessible to more consumers, with deliberate efforts to expand our distribution coverage in high-potential areas, even as restriction measures varied across the country,” Mr. Ang said.
GSMI produced 70% ethyl alcohol which it distributed to health facilities and government units for free during the early months of the pandemic. It was able to produce 1.3 million liters of San Miguel Ethyl Alcohol by the end of 2020, delivered to nearly 3,700 entities across the country.
Shares of GSMI went up by 3.7% or P2.7 on Thursday to close at P75.60 each. — Keren Concepcion G. Valmonte