Monde Nissin Corp. is set to allocate P7.5 billion in capital expenditures in 2026, focusing on expanding its Asia-Pacific food and beverage operations while maintaining caution amid global uncertainties.
Chief Financial Officer Jesse C. Teo said the company’s biscuit segment continues to see strong growth, driving the need for additional production capacity. A new biscuit plant is scheduled to open next year, with the bulk of investments deployed ahead of its launch.
Despite these expansion plans, Monde Nissin is prioritizing the security of its raw materials to shield operations from market volatility. Key inputs such as wheat and palm oil are secured through the fourth quarter of 2026, while coconut oil is covered until mid-2026.
These positions combine physical contracts and financial hedges to manage potential price fluctuations amid the ongoing global crisis.
The company has also locked in electricity costs for most of its Philippine plants through 2027, ensuring stability in a critical operating expense. For its meat alternatives segment, essential inputs like glucose and eggs are secured until year-end 2026.
Teo cautioned, however, that the company is “not bulletproof,” noting exposure to rising fuel-related costs.
Still, Monde Nissin’s proactive approach to securing raw materials, coupled with strong cash reserves, positions it to navigate potential supply disruptions and maintain steady operations in uncertain times.
The strategy as a balance between growth ambitions and prudent risk management, enabling the company to capitalize on rising demand while minimizing exposure to external shocks.
