CENTURY PACIFIC FOOD, Inc. (CNPF) posted a 10% increase in first-quarter (Q1) net income as strong branded sales and higher export manufacturing demand lifted revenues despite rising costs and higher taxes.
In a regulatory filing on Thursday, the listed food manufacturer said net income after tax rose to P2.1 billion in the January-to-March period from P1.91 billion a year earlier.
Consolidated revenues increased 15% to P23.25 billion from P19.94 billion previously.
“Against a backdrop of elevated uncertainty, the company delivered consolidated revenues amounting to P23 billion, representing a 15% growth rate from the same period last year,” CNPF said.
The company said around 80% of revenues came from its branded segment, which includes marine, meat, milk, coconut and emerging product categories, while the remainder came from original equipment manufacturing (OEM) exports in tuna and coconut.
CNPF said its branded business sustained “volume-led growth momentum” during the quarter, with sales rising 11% year on year (YoY) amid continued consumer demand for affordable food products.
“Branded sustained its volume-led growth momentum from 2025, delivering an 11% uplift YoY supported by continuous consumer demand for value-for-money goods and trusted brands amidst a challenged consumer landscape,” the company said.
Meanwhile, OEM exports surged 32% from a year earlier, supported by improving tuna market conditions and sustained global demand for coconut products.
“OEM Exports posted a robust recovery from prior year lows with a 32% jump, supported by gradually improving tuna markets and sustained global demand for coconut products,” CNPF said.
Gross profit increased to P5.77 billion from P5.22 billion a year ago, although gross margin narrowed to 25.1% from 26.2% due to rising input costs.
Operating income rose 17.4% to P2.73 billion from P2.32 billion previously, while operating margin improved to 11.9% from 11.7%.
“The company’s resilient business model, with its dollar-denominated export revenues, served as a natural hedge against rising input costs,” CNPF said.
Operating expenses increased to P3.31 billion from P2.90 billion, while financing costs nearly doubled to P125.87 million from P66.52 million.
The company said earnings growth was partly tempered by higher taxes following the expiration of some tax incentives. Income tax expense climbed to P504.18 million from P351.09 million a year earlier.
“Hence, net income after tax (NIAT) improved by 10% YoY to P2.1 billion, with net profit margins softening by 40 basis points (bps) to 9.1%,” CNPF said.
As of end-March, cash and cash equivalents stood at P2.9 billion. Capital expenditures during the quarter reached P871 million, mainly for the installation of equipment and machinery across manufacturing facilities.
Interest-bearing debt rose to P10.3 billion as of end-March, with P7.3 billion due within the next 12 months.
CNPF shares went up by 7.83% to P31 apiece on Thursday. — Alexandria Grace C. Magno
