CONCEPCION Industrial Corp., the flagship of the Concepcion family, announced record operating results for the third quarter ending September 2022.
Net sales increased by 15% compared to the same period last year to reach 3 billion pesos, mainly due to an increase in sales in the consumer and industrial market segments of 10% and 28%, respectively.
Sales growth in the consumer channel was driven by price increases, while the industrial segment increased due to the realization of a higher backlog and new orders with the easing of pandemic restrictions at as new commercial establishments open. Net sales for the first nine months totaled 9.7 billion pesos, up 7% for the same period in 2021.
Net profit improved by 370% in the third quarter to reach 34 million pesos. Higher margins on sales volume and higher prices offset higher input costs and the depreciation of the peso for the same period. Year-to-date net profit decreased by 14% to 298 million pesos, due to the early start of the rainy season and the pandemic restrictions still in place during the first quarter, associated to an increase in distribution costs.
“The business environment remains challenging, but we have made the right investments to weather the storm and thrive in the ensuing recovery. We remain confident that the fundamentals for an eventual economic recovery are in place. In the meantime, we continue to grow our products, brands, distribution and logistics capabilities, while improving our operational execution. We remain committed to our vision of creating happy spaces for Filipinos and are ready once the recovery gathers pace. in the medium term,” said Raul Joseph Concepcion, Chairman and CEO.