Strong domestic demand for affordable food products and a recovery in export sales sustained growth despite inflationary pressures, geopolitical uncertainties, and natural disasters, driving revenues of Century Pacific Food Inc. (CNPF) 14 percent higher to P70.5 billion in the first nine months of 2026.
The maker of Century Tuna, Argentina and 555 products said consolidated sales in the third quarter increased by 12 percent year-on-year and 8 percent quarter-on-quarter, reflecting continued strength across its branded food and original equipment manufacturer (OEM) export businesses.
Its branded segment, which accounts for most of its sales and caters primarily to the domestic market, posted 12-percent volume-led growth during the first nine months of the year. All major categories, including marine, meat, milk, coconut and emerging businesses, contributed to the expansion.
The company attributed the performance to sustained demand for affordable, value-for-money food products as households remained mindful of spending.
Its OEM export business also continued to recover, with sales rising 21 percent from a low base. Long-term contracts and sustained demand in key international markets supported the improvement.
Dollar-denominated export revenues also provide a natural hedge against the weaker peso, helping offset the higher cost of imported production inputs.
Operationally, CNPF improved its gross margin by 10 basis points to 25.6 percent, while operating expenses as a share of sales declined by 30 basis points to 13.9 percent. These gains supported a 20-percent increase in operating income before earthquake-related losses.
A magnitude 7.8 earthquake that struck General Santos in June disrupted operations at key production facilities. Production fully resumed by the start of the third quarter, with no permanent damage to the company’s manufacturing capabilities.
However, CNPF recognized P1.2 billion in non-recurring earthquake-related losses, tempering reported operating income growth to 4 percent. Insurance recoveries are expected in subsequent periods.
Higher taxes and finance costs, alongside the earthquake-related charges, pulled net income after tax down 11 percent to P5.2 billion. Core net income, however, increased by 10 percent.
Chief Financial Officer Chad Manapat said the company’s diversified portfolio and healthy balance sheet helped it navigate economic and operational challenges while continuing to invest in expansion.
CNPF allocated about P8 billion for capital expenditures this year, of which P5 billion had been deployed by end-September. Investments are directed mainly toward expanding coconut processing capacity and building new facilities for its dairy and pet food businesses.
Manapat said the company aims to sustain double-digit revenue growth for the full year, with core earnings growth expected to follow, while preparing for El Niño-related risks to production and supply continuity.
The company remains cautiously optimistic about 2027, banking on additional capacity and continued investments in its brands and operations to sustain growth and deliver affordable nutrition to Filipino households.
