Listed food and beverage firm RFM Corp. booked a net profit of P578 million in the first nine months of the year, up 10 percent from P525 million a year earlier.
RFM said revenues in January to September also rose 10 percent to P7.84 billion from P7.1 billion.
In a statement, RFM President and Chief Executive Officer Jose Concepcion 3rd said growth accelerated in the third quarter on the strong sales of ice cream, pasta, flour mixes, milk and bread.
Concepcion said sales could have been higher if not for the bottleneck in operations caused by the Manila port congestion, aggravated by a shortage in delivery trucks due to the poorly-timed implementation of rules on franchised trucking services.
“Despite the operational issues, RFM managed to find ways to improve the supply and distribution system which helped increase further revenue and profit growth in the third quarter. The company was also able to manage its operating expenses, while cost of certain critical inputs were also seen tracking lower than previous periods,” aConcepcion said.
“We also saw double digit growth in our major consumer brands like Selecta in ice cream and milk, and Royal and Fiesta pasta, and we shall continue to prioritize our efforts in these categories,” he added.
Concepcion said that despite the current remedial efforts of the government, congestion and supply chain slowdowns are still evident in the consumer based industry, affecting raw materials, packaging requirements and finished product deliveries.
Even with the effects of the port congestion, the company expects better profits and sales in the last quarter on the “usual surge in demand during the Christmas season.”
RFM is engaged in the processing and manufacturing of flour and flour-based products like pasta, sauces and cake mixes, milk and juice drinks, canned and processed meats, as well as ice cream.
Besides Selecta ice cream, Fiesta and Royal pasta brands, other labels under RFM include Sunkist Juices, Selecta Milk, Vitwater and Alo Green Tea for beverages, and White King Hot Cake and Butterfresh Margarine for cake mixes.