San Miguel Food and Beverage Inc. (SMFB), a unit of diversified conglomerate San Miguel Corporation, reported a 10 percent growth in net income to P38.1 billion, the highest net income figure achieved by the Group since SMFB's consolidation in 2018.

In a disclosure to the Philippine Stock Exchange, the firm said it ended 2023 with outstanding financial results, despite the challenges of an unpredictable macroeconomic landscape.

Consolidated sales reached P379.8 billion, a 6 percent increase from the previous year, with all business units reporting growth in sales compared to 2022. This was attributed to improved volumes and pricing strategies.

“Our success in 2023 reflects our team's dedication and drive for excellence. We’re determined to build on our gains, and continue finding ways to excite and delight our markets, while delivering the same high quality, best value products that have been trusted and enjoyed by generations,” SMFB President and CEO Ramon S. Ang said.

SMFB's Beer division reported an 8 percent increase in consolidated sales to P147.3 billion, fueled by higher demand in both local and international markets. Domestic sales volumes, however, are still 25 percent below pre-pandemic levels.

Domestic sales rose 8 percent to P131.7 billion, boosted by effective marketing strategies and expanded sales efforts.

International revenue also grew by 7 percent, propelled by strong demand for San Miguel's global brands, such as Red Horse, leading to significant growth in regions like South China, Thailand, and through Exports.

EBITDA and net income increased by 9 percent and 16 percent respectively, while net income reached P25.3 billion.

Its Spirits division also reported higher growth, with revenues up 13 percent to P53.6 billion. This was driven by efforts to enhance brand equity through consistent advertising, consumer promotions, and expanding market reach.

Both EBITDA and net income saw substantial increases of 41 percent and 55 percent, amounting to P9.4 billion and P7.0 billion, respectively.

Meanwhile, its Food division reported revenues of P178.8 billion, a 2percent increase from the previous year. This was achieved through strategic pricing adjustments across segments, complemented by aggressive marketing to stimulate demand.

Although the poultry segment faced challenges, including capacity constraints and pressure from imported frozen chicken that impacted prices and overall performance, the Food division concluded the year with a net income of P6.6 billion and EBITDA of P18.3 billion, exceeding pre-pandemic figures despite a slight decrease from the prior year.