InterAksyon.com means BUSINESS
MANILA, Philippines - Higher sales volume coupled with price increases pushed the net income of the Philippines' biggest dairy company by nearly half in the three months ending March.
In a regulatory filing, Alaska Milk Corp. said its net profit rose by 44 percent to P362.60 million in the first quarter from P252.30 million last year.
"The prospects are for an improved performance this 2012," said Wilfred Steven Uytengsu, Alaska president and chief executive officer.
Net sales jumped 53 percent to P3.39 billion from P2.22 billion last year, as strong consumer spending and promotional efforts continue to fuel sales volume recovery across the company’s line of milk products.
Alaska said its evaporated milk got a boost from “favorable” hot weather conditions, while sales of its sweetened condensed milk more than doubled as trade outlets replenished their inventories following a surge in demand during a seasonally strong fourth quarter.
While sales volume of powdered milk contracted, its powdered milk drink continued to enjoy higher sales and market share amid extensive in-store merchandising executions.
The company’s portfolio of UHT products remained brisk, posting strong double-digit growth rates. Additional sales were generated from its newly launched Alpine Sterilized Milk Drink and non-dairy coffee creamer product, which is gaining consumer base and market share.
Cost of sales expanded by 54 percent to P2.361 billion from P1.538 billion last year mainly because of higher sales volume and partly to higher cost of skimmed milk powder.
With the impact of selective price increases, gross profit climbed 52 percent to P1.03 billion from the previous year’s P677 million.
InterAksyon.com means BUSINESS
BUSINESS NEWS
