MANILA, Philippines - Splash Corp. reported its net income after tax surged 158 percent to P32.9 million in the first quarter of 2014 from P12.7 million a year ago, driven by sales of its personal care and food products.
In a statement, Splash said it posted sales of P832 million in the first quarter, 8.7% higher than year-ago figures. Its operating profit jumped 48% to P42.8 million in the first quarter of 2014.
"The growth in sales is mainly accounted for by the 14 percent growth in the Philippines personal care business as a result of successful advertising and improved sales from key accounts, a 32 percent increase in international personal care sales driven by increasing revenues from Africa, and the 25 percent growth of sales of foods international from higher sales in North America and the Middle East," the company said.
The higher sales and net income was a result of Splash's efforts to strengthen its operations.
In the first quarter, Splash said sales of its whitening products category went up 14% due to the SkinWhite lotion line.
For the food business, Splash focused on increasing sales in
international markets such as the U.S. West Coast, Middle East and Canada.
The company said it has started introducing brands in Filipino stores in the US and will start selling Barrio Fiesta recipe mixes in the
second quarter with variants Bulalo, No Boil Lechon Kawali, Tinola, Chicken Inasal, Caldereta and Sinigang.
For the local market, Splash Foods focused on products where it is competitive such as bagoong and spiced vinegar and in channels where it is strong like supermarkets. Splash has integrated the sales and distribution of food and personal care in Prime Global Distribution Corporation.
In 2013, Splash had reported a decline in profit to P73 million, as sales also fell by 5% amid stiff competition in the personal care market.