Monde Nissin Corporation reported a 31 percent increase in its income for the first nine months of the year, totaling P6.08 billion, up from P5.79 billion in the same period last year. The strong performance was driven by a slight increase in revenue despite a challenging third-quarter earnings period.
For the nine-month period ending 30 September 2024, Monde Nissin’s revenues grew by 3 percent, reaching P61.14 billion compared to P59.26 billion a year earlier. The company’s core Asia Pacific branded food and beverage segment, which includes its popular biscuits and noodles business, saw a 4 percent increase in sales to P51.05 billion from P48.95 billion in 2023. However, its veggie meat division struggled, with a 2 percent decline in revenue to P10.09 billion from P10.3 billion.
CEO Henry Soesanto expressed optimism about the company’s future, noting strong growth in October, with domestic revenues exceeding P6 billion for the first time. He also highlighted the launch of new product categories as a key initiative moving forward.
Despite the overall growth in revenue, the company’s third-quarter results were weaker, with net income falling by 13 percent to P1.99 billion, down from P2.3 billion in the same quarter last year. Third-quarter revenues rose by 3 percent, to P21.01 billion from P20.32 billion in 2023. The Asia Pacific segment showed a 5 percent improvement, reaching P17.71 billion, while the veggie meat segment saw a 5 percent drop to P3.3 billion.
In response to the ongoing challenges in its veggie meat business, Soesanto announced plans for a restructuring aimed at streamlining costs and simplifying operations. He also revealed that Marco Bertacca, CEO of Monde Nissin subsidiary, Quorn Foods, would be stepping down. Bertacca, who led the company through difficult times including the COVID-19 pandemic, will be succeeded by David Flochel in January 2025. Flochel has extensive experience in transforming food and beverage businesses.
Soesanto said Monde Nissin aims to make its veggie meat business EBITDA-positive by 2025, leveraging an ongoing restructuring initiative that will generate annual cash savings of approximately GBP 8 million, partly funded by the restructuring efforts.
“We believe these actions will put the business on a stronger footing and better position us for future success,” Soesanto said.
Despite the challenges in its alternative protein business, Monde Nissin remains optimistic about its broader portfolio and strategic investments.
