Universal Robina Corporation (URC) posted sales of Php 39.8 billion for the three months ending March 31, 2023, up 11% vs. same period last year, and sustaining its growth momentum from 2022. All businesses delivered strong growth despite the continued elevated inflation rates across the region.

Operating income for the first quarter grew faster than top line, increasing 15% vs. the same period last year to hit Php4.7 billion. Margins expanded versus last year and versus last quarter, growing with the full year impact of the pricing moves done last year, coupled with optimization initiatives implemented to manage operating expenses. Net income was flat at Php 3.6 billion due to higher financing costs and non-cash impairment on the farms business, while core net income was up 11% versus same period last year.

URC’s financial position remains strong, with a healthy cash balance of Php14.0 billion, net debt of Php5.7 billion and a low gearing ratio of 0.18.

SALES PERFORMANCE PER BUSINESS

Branded Consumer Foods (BCF): The domestic and international branded consumer foods group, excluding Packaging, recorded sales of Php 26.9 billion for the first quarter. BCF Philippines finished the quarter strong, growing by 6% versus the same period last year, ending at Php 18.1 billion in revenues, and recording its highest ever sales in March. BCF International continued to rally, growing by 13% vs. last year to close the quarter at Php 8.9 billion. Vietnam, Malaysia and Myanmar showed strong performance with growth at double digit rates.

Agro-Industrial & Commodities (AIC): Sales of the Agro-Industrial & Commodities divisions reached Php 12.4 billion, a growth of 20% versus same period last year, driven by the Sugar and Renewables on the back of higher selling prices and the Agro-Industrial Group with its strong feeds sales.

CONTINUED STRONG PERFORMANCE COMING IN TO 2023

Irwin Lee, URC President and CEO, said, “We are pleased that we were able pick up where we left off in 2022 and continue our strong performance into the first quarter of 2023, despite inflationary pressures on consumer demand and continuing volatility on input costs. We believe that with the strength of our brands and continuous improvements in our operations, we will be able to sustain this momentum.”