THE Central Azucarera de Tarlac (CAT) was able to narrow its net loss to P76 million in the first half of fiscal year ending in December.
The happened despite a drop in revenues, because of a lower operating expense.
The company said it was able to trim its net loss by 35.6 percent to P76 million in July to December from P118 million a year earlier.
“Results of the current year’s milling and production activities have yet to be realized and are expected to draw significant gains towards the end of the fiscal year. With the consolidated efforts and focused management, CAT is expected to continue its growth trend to sustainable profitability,” the company said in a statement.
Gross revenues were down 15 percent to P231.815 million from P273.43 million. The company noted there was a delay in the milling season, which resulted in lower volume of sugar and tolling fees.
Alcohol as the main driver of revenues contributed P120.5 million, up 47 percent from P81.8 million.
Meanwhile, profit from sugar decreased by 37 percent to P77.9 billion from P124.5 million.
Revenues from tolling of refined sugar plunged by 72 percent to P14.4 million from P52 million.
Operating expenses declined by 60 percent to P48.9 million from P122.4 million, mainly because of the company’s efforts in downsizing its workforce which retied numerous positions and aligned salary levels.
Two years ago, businessmen Martin Lorenzo and Fernando Cojuangco bought the controlling interest in the sugar mill for P1.80 billion.