Ginebra earnings surge 64% to P4.1 B
Published Aug 3, 2023 08:45 am
Ginebra San Miguel Inc. (GSMI), the spirits unit San Miguel Corporation (SMC), reported a 64 percent surge in net income for the first six months of 2023 to P4.1 billion from the P2.5 billion earned in the same period last year.
In a disclosure to the Philippine Stock Exchange, the firm said its robust first semester performance was buoyed by steady volume growth as a result of strategic marketing campaigns that helped boost consumption.
For the first six months of the year, GSMI’s volumes reached 22.2 million cases, a 1 percent improvement over the same period last year.
With sustained volume growth, sales revenues rose 10 percent to P25.4 billion, while gross profit improved 2 percent to P6.2 billion.
Income from operations went up 3 percent to P3.4 billion, while EBITDA rose 53 percent to P5.5 billion.
SMC President and CEO Ramon S. Ang
“Through well thought-out strategies and campaigns, GSMI has continued to stay on top of its market, and has become a reliable performer and contributor to total San Miguel Group performance,” said SMC President Ramon S. Ang. He added that, “With the initiatives it has launched, we’re looking to further build on its momentum and continue performing well for the rest of the year.” GSMI said its thematic campaign, “Iba and Ngiti Ngayon sa One Ginebra Nation”, helped sustain strong brand equity and, complemented by a consumer promo in March, spurred consumption-- cushioning the effects of a price increase implemented for all its products. On-ground events, particularly the return of the Ginumanfest concert series and fiesta activations, also boosted awareness and brought GSMI brands closer to consumers. Penetration drives and sampling activities in resorts and popular on-premise outlets were likewise intensified, with the first half culminating in its annual event celebrating World Gin Day in June, where GSMI pushed its broader “Gin-Is-In” campaign. This was further supported by four pocket launches and 50 bar activations in major cities. Meanwhile, at their meeting last August 2, the GSMI Board of Directors approved the declaration and payment of regular cash dividends of P0.75, and special cash dividends of P1.75 per common share to all shareholders of record as of August 16, 2023.
SMC President and CEO Ramon S. Ang
“Through well thought-out strategies and campaigns, GSMI has continued to stay on top of its market, and has become a reliable performer and contributor to total San Miguel Group performance,” said SMC President Ramon S. Ang. He added that, “With the initiatives it has launched, we’re looking to further build on its momentum and continue performing well for the rest of the year.” GSMI said its thematic campaign, “Iba and Ngiti Ngayon sa One Ginebra Nation”, helped sustain strong brand equity and, complemented by a consumer promo in March, spurred consumption-- cushioning the effects of a price increase implemented for all its products. On-ground events, particularly the return of the Ginumanfest concert series and fiesta activations, also boosted awareness and brought GSMI brands closer to consumers. Penetration drives and sampling activities in resorts and popular on-premise outlets were likewise intensified, with the first half culminating in its annual event celebrating World Gin Day in June, where GSMI pushed its broader “Gin-Is-In” campaign. This was further supported by four pocket launches and 50 bar activations in major cities. Meanwhile, at their meeting last August 2, the GSMI Board of Directors approved the declaration and payment of regular cash dividends of P0.75, and special cash dividends of P1.75 per common share to all shareholders of record as of August 16, 2023.