Universal Robina Corporation (URC), the food and beverage unit of the Gokongwei Group, reported a 24 percent drop in net income to P6.5 billion for the first half of 2022 from P8.5 billion in the same period last year due to gains from the sale of assets in 2021.

In a disclosure to the Philippine Stock Exchange, the frim said net sales grew 23 percent to P71.1 billion in the first semester of the year from P57.9 billion in the same period of 2021.

“The company’s strong sales momentum has continued with all business units showing double-digit growth,” said URC adding that, “absolute profits were recovered as planned despite material cost increases and the strengthening of the US dollar.”

URC President and CEO Irwin Lee said, “We are very pleased to see the strong performance of the business as we exit the first half of 2022 with record high sales. We anticipate sales momentum to be maintained as consumer demand continues to be resilient across the region.”

“At the same time, we are closely watching demand signals given the inflationary environment. As we continue to navigate global headwinds, we remain confident that we will be able to continue increasing our absolute profits as we couple strong topline growth with our reinforced cost savings initiatives,” he added.

Sales of domestic and international branded consumer foods (BCF), excluding Packaging, grew 27 percent to P50.7 billion.

BCF Philippines continues to break sales records as first half revenues reached P35.1 billion, growing by 20 percent and once again posting its highest monthly and quarterly sales in history.

“Consumption and demand signals remain strong, with most categories exhibiting strong double-digit growth,” noted URC.

International revenues (including recently acquired Munchy’s) ended the period at P15.6 billion, up 43 percent versus last year.

URC said “The core international business (ex-Munchy’s) posted growth of 18 percent as the strong sales momentum from key markets continued into the second quarter.”

Sales at the Agro-Industrial & Commodities divisions saw an increase of 15 percent versus last year, ending the half at P19.4 billion.

All business units saw double-digit growth on topline, driven by higher selling prices. Sugar and Renewables posted strong growth despite lower output caused by tighter cane supply in the country.

Growth at the Agro-Industrial Group was driven by the Pet Foods business which continues to outperform and is set to hit all-time highs.