MANILA, Philippines - A key official of San Miguel Pure Foods said the company's revenues for 2011 is expected to hit P90 billion, a record high.
"This year, [sales revenue] will reach as much as P90 billion," Ramon Ang, president and CEO of parent San Miguel Corp. told reporters on Mar. 3.
In a press briefing after the listing of San Miguel Pure Foods' P15 billion preferred shares, the food company's president Francisco Alejo III said they are implementing acquisition and expansion plans this year.
"We think there are opportunities in the geographical expansion, making our products more available in more stores in more areas," Alejo said.
He added that the company is looking at a "couple of acquisitions," including one international brand, after the company successfully raised P15 billion in fresh funds through sale of preferred shares.
These new acquisitons as well as expansion of its piggery, poultry and processed meat businesses will help the company post consolidated revenues of more than P90 billion from P80 billion in 2010.
"We will still be growing at double digit in terms of revenue and net profit and EBITDA," Alejo said.
Purefood earlier said that is spending P2 billion in capital expenditures for this year to expand its, piggery, poultry and meat processing businesses.
While price of inputs will likely increase of higher fuel costs and that the company will be unable to pass on the higher cost to consumers, Alejo said Purefoods is still optimistic that it will be able to increse its revenyes and profit via expansion and introduction of new products.
At present, Purefoods has operations in Vietnam and Indonesia. It also exports some of its products in Thailand, Malaysia and Middle East.
One of innovations that Purefoods is planning to undertake is to make its available its products in various Treats convenience stores located in Petron gasoline stations.
San Miguel Corp president Ang said company initially will sell its best selling products under the Magnolia and Purefoods brand in 25 Treats stores.
But moving foward, Ang said Purefoods could takeover the Treats stores located in various Petron stations. At present there are 60 Treats stores out of the 1,500 Petron stations nationwide.
"There is a good fit for Purefoods and Petron. Eventually Purefoods could take over the Treats stores," Ang said.
Purefoods and Petron are both owned by San Miguel Corp.