Metro Pacific affiliate Axelum Resources Corporation, the country’s leading fully-integrated manufacturer and exporter of premium coconut products, expects to perform even better next year after turning its performance around in 2024.
“Rising demand in key export markets continue to fuel our growth momentum. Positive macroeconomic tailwinds and normal shipping conditions will support consumption activity in the long-term,” said Axelum President and COO Henry J. Raperoga.
He added, “As we aim to close the year on a high note, we are at the same time gearing up for an even stronger showing in 2025.”
In 2024, Axelum invested in upgrading manufacturing capabilities by deploying additional production capacity for its coconut water segment.
Last April, the firm secured a multi-year renewal contract with Vita Coco, the world’s largest coconut water brand, to lock in one of its major revenue streams for the next decade.
In addition, Axelum unveiled new retail product offerings with refreshed packaging designs, aligned with its strategy of pursuing new growth areas for its consumer business.
It also strengthened its digital platforms to enhance customer lead generation and boost local online selling, which grew 40 percent year-on-year.
Lastly, Axelum strategically onboarded highly sought-after professionals to leverage diverse industry experience and technical expertise, complementing its homegrown talent to drive innovation and optimize value creation.
The firm generated P5.1 billion in sales in the first nine months of 2024, up 20 percent compared to the same period last year, on the back of double-digit volume growth across core product segments, including desiccated coconut, coconut water, and coconut milk powder, which collectively account for 75 percent of total revenues.
Gross profit rose 69 percent to P1.3 billion during the period, with gross margin expanding to 24.4 percent from 17.3 percent in the previous year, owing to the increased contribution of high-value products and positive foreign exchange translation.
Due to margin improvement, earnings before interest, taxes, depreciation, and amortization (EBITDA) posted at P604 million, while net income settled at P339 million, a sharp turnaround compared to a net loss of P428 million in the prior year.