RFM Corp., the listed manufacturer of Royal and Fiesta pasta and Selecta ice cream, has recorded an 8-percent increase in its first quarter net income to P179.4 million from a year ago on the back of higher revenues mostly from ice cream and pasta sales.
The company said in a statement its total revenues advanced 15 percent to P2.6 billion.
RFM President and Chief Executive Officer Jose Concepcion 3rd said sales of Selecta ice cream products as well as the Fiesta and Royal pasta products were strong in the first three months of the year.
Concepcion said other products that showed “encouraging growth” were the White King cake mixes and Selecta Milk chocolate flavored drinks.
The good first quarter performance was achieved despite the distribution and logistics problems RFM faced during the three month period.
“We are still temporarily affected by higher warehousing and trucking costs as a result of external issues related to port and trucking franchise and rates. But we see these costs already starting to go down as we rationalize our supply and distribution system to sustain the growth momentum in sales and profits,” Concepcion said.
The company said it is expecting to improve managing costs throughout the year as it gears up for stronger growth momentum in peak season during the summer months.
It said it would push more product innovations that will entice more sales.
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.
Aside from Selecta ice cream, Fiesta and Royal pasta brands, famous 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.