CNPF profit rises 11% to P7.1B on cost controls

CENTURY PACIFIC Food, Inc. (CNPF) reported an 11% increase in net income for 2025 to P7.1 billion, as tighter spending offset pressure on gross margins.

The listed food company posted a 10% rise in consolidated revenues to P83.3 billion, driven by its branded segment, which compensated for the soft performance of its export business, it said in a statement on Monday.

The branded segment — comprising marine, meat, milk, and other segments — recorded a 13% volume-led sales growth, driven by its offerings, which reach nine out of 10 households in the Philippines, the company said.

“In our effort to balance short- and long-term growth, we made strategic decisions back in 2024 to invest in our brands while holding prices even up to 2025,” said Chad Manapat, CNPF chief financial officer.

“Ultimately, this meant providing consumers with more accessible and nutritious food options, leading to double-digit volume growth in 2025.”

Meanwhile, the group’s original equipment manufacturing (OEM) white label tuna and coconut exports posted a muted 2% growth.

The segment faced headwinds from global trade uncertainty and an unfavorable commodity cycle, though a double-digit recovery in the fourth quarter of 2025 helped offset earlier declines.

Margins remained under pressure as input costs normalized from a favorable 2024 cycle, pulling gross margin down by 100 basis points to 25.1%.

However, by deliberately tightening operating expenses, the company lifted its net profit margin by 10 basis points to 8.5%.

Healthy cash flows funded P4.1 billion in capital expenditures during the year, allocated to capacity expansion and renewable energy initiatives, including solar and biomass capabilities.

The balance sheet remained strong, with a net gearing ratio of 0.13x.

Looking ahead, Mr. Manapat said 2026 is “shaping up to be a tough year.”

While the company is currently on track for the first quarter, it is navigating disruptions from the Middle East and a higher bar for the next few months.

The company plans to rely on its portfolio of “pantry essentials,” which have historically shown resilience during economic uncertainty.

To manage rising cost pressures, CNPF is maintaining a “tight leash on spending” and optimizing discretionary costs to keep products affordable.

“Growth, for us, is not just a financial metric. It means keeping accessible and nutritious food on the table for more Filipino families,” Mr. Manapat said, noting that the company’s operations support 33,166 jobs.

CNPF’s brands include Century Tuna, Argentina, 555, Ligo, and Birch Tree. The company is also one of the leading providers of private label tuna and coconut products for export.

CNPF shares fell by 0.62% to P32 apiece on Monday. — Alexandria Grace C. Magno