Fruitas Holdings Inc., the leading operator of multi-format food and beverage stores reported a 37 percent growth in consolidated net income to P113 million last year from the P82 million earned in 2022 on the back of record revenues.

Fruitas disclose to the Philippine Stock Exchange (PSE) that it achieved all-time high annual revenues of P2.47 billion in 2023, or 37 percent ahead of the P1.8 billion revenues in 2022.

"The impressive financial performance of Fruitas Holdings in 2023 underscores our capability to deliver an exceptional outcome for all of our Fruitas brands," said Fruitas President and CEO Lester C. Yu. 

He added that “the successful integration of two acquisitions, Ling Nam and Fly Kitchen, into our business portfolio reflects our commitment to growth and diversification. 

“Additionally, the additional focus we are putting into our e-commerce business demonstrates our readiness to adapt to evolving consumer preferences and market trends. We are enthusiastic about our future growth as we embark on expanding our presence in strategic locations and enhancing our product offerings to better serve our customers,” he said.

Revenue growth was broad-based across its subsidiaries, led by Balai ni Fruitas and Fruitas group. Balai ni Fruitas is anchored by Balai Pandesal, while Fruitas group houses the beverage brands.  

“We also completed the acquisition of Ling Nam in March 2023, which significantly contributed to our revenue growth and profitability,” the firm said.
Revenue growth was largely driven by same-store sales growth and expansion of its e-commerce business.  In 2023, the firm also expanded its cloud kitchen business through the acquisition of Fly Kitchen. 

As of end-2023, the company had a total of 817 stores, adding 44 stores to the 773 stores as of end-2022. The modest increase in number of stores reflects the Company’s strategy of optimizing its store network and selectively opening new stores in high-density areas.

Fruitas generated a gross profit of P1.49 billion in 2023, a 42 percent increase from the P1.05 billion gross profit in 2022.  Gross profit margin reached 60.5 percent in 2023 compared to 58.5 percent in 2022. 

The two percentage points increase in gross profit margin can be attributed to production efficiency improvement, sales price increase, and entry into higher-margin product categories.  The gross profit increase also cushioned the impact of the escalation of operating expenses in 2023.