MONDE NISSIN Corp. saw an 8.7% increase in its net income attributable to owners to P2.86 billion in the third quarter on the back of lower tax rates and interest rates.
The company’s sales also grew by 4.1% to P17.69 billion, with its Asia-Pacific Branded Food and Beverage Business (APAC BFB) recording the strongest growth of 4.2% to P14.1 billion in the third quarter.
Monde Nissin said noodles sales from its domestic business saw “robust growth,” while sales for biscuits “stabilized” for the first time amid the pandemic. Sales in the Philippines climbed by 4.4% to P13.19 billion.
Meanwhile, APAC BFB sales overseas inched up by 1.2% to P892 million as it came from a high base. The company said international sales were also impacted by logistical challenges.
“The pickup in growth was encouraging during the third quarter for our APAC BFB operations, showing the strength of our foundation products, we have much still to do in our meat alternatives business,” Monde Nissin Chief Executive Officer Henry Soesanto said in a statement.
Sales from Quorn Foods declined by 3.8% in the third quarter due to the “unprecedented labor shortages” in the United Kingdom. However, favorable exchange rates translated to a 3.6% revenue growth to P3.61 billion.
Monde Nissin said Quorn Foods also saw a 63.8% foodservice revenue growth. In the US, Quorn Foods launched five new products. It also tapped actress Drew Barrymore as its newest brand ambassador, dubbed as “Chief Mom Officer.”
Back home, Monde Nissin said it relaunched its Quorn Foods in stores and online shopping platforms such as Lazada and Shopee.
For the first nine months, Monde Nissin’s attributable net income declined by 5.3% year on year to P7.12 billion, while its topline inched up by 2.2% to P51.45 billion. The company also revised its topline guidance for the year.
“Recall that our previous guidance is that we are targeting mid-single-digit growth. We have modified it to low to mid-single-digit growth,” Monde Nissin Chief Financial Officer Jesse C. Teo said in a briefing on Thursday.
“We believe that we should be able to have respectable growth rates because of our balanced portfolio and we should be able to sustain what we have done in [the third quarter] into [the fourth quarter],” he said.
Monde Nissin said it continued to invest in its business operations.
“We have two high-speed airflow lines coming in into our Philippine operations,” said Mr. Teo, adding that the company is on track to have its high-speed airflow line in Thailand by early next year.
“Our Malvar operations has started out, the new noodle line is up and running and we’re just waiting for regulatory approval to ship our first products there,” Mr. Teo said.
Meanwhile, the company plans to focus on “mainstream expansion” for its international businesses as logistical challenges continue.
Monde Nissin shares lost 1.66% or 28 centavos to close at P16.60 each on Thursday. — Keren Concepcion G. Valmonte