Campos-led Del Monte Pacific Ltd. on Monday said its income for its fiscal second quarter ending October 31 jumped sevenfold to $16.8 million from the previous year’s $2.3 million, on strong operational efficiency and market demand.
Total sales expanded by 10 percent to $234.9 million driven by both the Philippines and international businesses, particularly by fresh pineapple exports.
The performance drove sales for its fiscal first half to rise by 11 percent to $438.6 million on the back of a 16-percent surge in fresh pineapple sales and a 10-percent growth in the Philippines.
Net profit jumped to $22.3 million from $2.7 million last year as a result of higher sales and strong margin expansion.
Sales in the Philippines in the second quarter alone rose 9 percent in peso terms to $121.7 million on higher volume and better pricing. Strong demand for packaged pineapple and the expanded year-round use of mixed fruits led the Philippine growth.
‘Nutrition-led initiatives positioning pineapple as an everyday superfruit further strengthened consumer preference for natural, immunity-building options,’ the company said.
International sales in the second quarter went up by 7 percent to $90.6 million with increased volume of fresh pineapple, juice and frozen pineapple.
The fresh fruit business fueled growth with a 23-percent expansion from continued higher sales of the deluxe variety improving sales mix, coupled with strong pricing.
The juice segment grew by 49 percent primarily due to higher sales in China and Europe.
Frozen pineapple sales rose 21 percent from favorable product mix and strong pricing.
The company said it launched the Del Monte Halo-Halo Mix in Australia last September.
It said Del Monte increased market share in North Asia to 51 percent for imported pineapples, cementing its leading position as the preferred fresh pineapple supplier.
Last July, Del Monte Philippines Inc. (DMPI), the local unit of Campos-led Del Monte Pacific Ltd. (DMPL), said its sales for its fiscal year ending on April 30 rose by 14 percent to P44.2 billion from the previous year’s P36.23 billion on strong demand for its key products.
The company said it had positive cash flow from its operations amounting to $226 million.