RFM nets P772M in first half, up 19%

RFM Corp. saw first half net income grow 19 percent to P772 million from P650 million a year earlier, buoyed by the strength of its consumer group segment.

“The consumer group was the main factor behind this performance,” RFM said in a filing on Friday, highlighting the “resilience and steady growth in its main segments.”

It said net sales in the six months to June grew 2 percent year on year, adding that while flour sales volume rose, “lower market prices caused a slight drop in total flour sales revenue.”

RFM posted a net operating margin of P975 million in the first half, up from P897 million a year earlier, while earnings before interest, taxes, depreciation and amortization grew to P1.36 billion from P1.26 billion previously.

The company’s current ratio improved to 1.30 from 1.04, indicating stronger liquidity.

By segment, net sales of the consumer business rose 5 percent to P7.2 billion from P6.86 billion a year ago.

In contrast, net sales of its institutional business dropped 4.26 percent to P2.56 billion from P2.68 billion while net sales of other businesses jumped to P29 million from P15 million.

For the second quarter alone, RFM’s net income grew 3 percent to P463 million from P448 million a year ago.

Net revenues climbed 2 percent to P5.26 billion compared to P5.15 billion in the same quarter of 2024.

Operating margin also slightly increased to P608 million from P606 million while earnings before interests, taxes, depreciation and amortization rose to P803 million from P789 million.

Despite headwinds in some segments, the company said it “continues to demonstrate resilience” across its core operations.

As of end-June 2025, RFM’s total assets stood at P24.33 billion while total liabilities reached P9.2 billion.

Last week, RFM CEO Jose Ma. Concepcion III said he expected mid-single digit growth in sales this year from the P22 billion recorded in 2024, with net income seen growing in the high single digits from P1.4 billion last year.

He said the sales projection was based on expected volume growth driving RFM’s topline, while favorable input prices and volume leverage would support income growth.

RFM shares rose 0.24 percent to close at P4.17 each on Friday.