Monde Nissin Corporation announces today its unaudited financial results for the first quarter ended March 31, 2022. Consolidated revenue increased 7.2% to Php 18.3 billion for the first quarter on the strong performance of the APAC BFB domestic business.
First quarter gross margin showed a 150 bps recovery from Q4 2021 due to pricing actions and volume growth, but decreased to 35.1% year-on-year as input costs continue to rise.
Year-on year, core EBITDA declined by 9.9% to Php 3.6 bn due partly to the company’s continued strategic investments in brand and new product development during the quarter. Relative to Q4 2021, core EBITDA grew 78.1% as operating expenses declined.
Core net income attributable to shareholders for the quarter saw a decrease of 13.5% to Php 2.1 bn, while reported net income ended almost unchanged at Php 2.3 bn, benefiting from lower interest expense due mainly to the repayment of the Arran convertible note and bank loans in 2021.
Asia-Pacific Branded Food and Beverage (APAC BFB)
APAC BFB net sales for the first quarter increased by 8.6% to Php14.5 billion due to the improvingperformance of the domestic business, which grew 10.5% to Php 13.7 billion on price increases and continued volume growth for the noodles, culinary, and packaged cake categories. Biscuits also posted volume growth to pre-pandemic level.
Meanwhile, the international business declined 15.4% to Php 854 million due mainly to shipping constraints during the quarter.
Gross profit decreased 4.0% for the first quarter to Php 5.0 bn, with gross margin down 450 bps to 34.4% as price increases taken in the second half of 2021 and first quarter of 2022 partially mitigated rising commodity costs.
Core EBITDA posted a 69.5% improvement on Q4 2021 due to lower operating costs and price increases, but declined 6.4% year-on-year to Php 3.4 bn as pricing actions trail commodity cost increases.
Meat Alternative (Quorn Foods)
Meat Alternative revenue decreased 1.3% year-on-year on an organic basis as the U.K. grocery market remains in decline and as the country continues to experience challenging macroeconomic conditions.
On a reported basis, revenue increased by 2.1% to Php3.8 billion due to foreign exchange gains. Retail sales posted a decline year-on-year as the market rebalances to out-of-home consumption. Meanwhile, foodservice delivered a record quarter and grew 124%. – BusinessNewsAsia.net