SINGAPORE (June 29): Del Monte Pacific (DMPL), the producer of branded fruits and vegetable, juices and condiments, reported 4Q earnings ended April of US$12.3 million ($16.8 million), four times higher than the US$2.9 million in the same quarter last year.
This was a result of the one-off gain from the purchase of DMFI loans at a discount in the secondary market. Excluding one-off items of US$14.3 million, the group said it would have incurred a net loss of US$2.1 million versus a profit of US$17.2 million last year due to lower export sales, significantly reduced pineapple juice concentrate (PJC) prices, and strategic investments in trade spending and marketing to strengthen its core business in the US.
In the fourth quarter, DMPL generated fourth quarter sales of US$499.0 million, 8.5% lower than a year ago. While sales were higher in the Philippines, these were offset mainly by lower, cyclical PJC prices in international markets, decreased exports of processed pineapple, and lower sales in the US. The group has been shifting to more branded consumer beverage given the volatile nature of industrial and commodity PJC.