Dual-engine portfolio drives 15% revenue growth in 1H26,
Core NIAT Up 10% Year-on-Year
- 1H26 Revenues grew 15% year-on-year (YoY), with 2Q26 sustaining the momentum at 16% growth vs the same period last year.
- The Branded segment accelerated in 2Q26, increasing by 14% YoY, pulling up 1H26 growth to 13% versus the same period last year.
- OEM Exports sales were up 21% in 2Q26 YoY and 26% in 1H26, its continued recovery slightly dampened by the earthquake that hit General Santos in June.1H26 gross margins improved by 20 basis points (bps) versus the same period last year, offsetting the 20bps expansion in operating expenses.
- 1H26 core net income after tax, excluding one-off provisions for earthquake-related losses subject to insurance recoveries, grew by 10% YoY, partially tempered by higher effective tax rates from expired income tax incentives and finance costs.
Century Pacific Food, Inc. (PSE:CNPF), one of the leading food companies in the Philippines, released its unaudited results for the first six months of 2026. Amid an increasingly volatile environment, the Company was able to sustain its growth momentum, delivering Php 45.8 billion in consolidated revenues, which reflected a growth rate of 15% YoY. CNPF’s dual-engine portfolio, Branded and OEM Exports, grew double-digit on both fronts.
DUAL-ENGINE PORTFOLIO SUPPORTING TOPLINE GROWTH
Majority of CNPF’s sales come from the predominantly domestic Branded business, comprised of Marine, Meat, Milk, Coconut, and other emerging segments. Despite a soft consumer landscape, Branded remained resilient, supported by the relevance of its diverse portfolio of affordable staples. During the second quarter, the segment accelerated, increasing by 14% versus the same period last year and pulling up the 1H26 growth to 13%. Sales improvements were seen across all subsegments in Branded, with Milk, Coconut, and other emerging businesses leading the charge.
OEM Tuna and Coconut Exports continued their recovery from a challenging 1H25. For the first half of the year, the segment grew 26% YoY on the back of improving tuna export markets and a robust global demand for healthy coconut products. The segment’s 2Q26 performance was dampened by the June earthquake that hit General Santos, where key manufacturing facilities are located, resulting in a 21% growth YoY.
MITIGATING THE IMPACT OF A HIGHER COST ENVIRONMENT
Chad Manapat, CNPF Chief Financial Officer, said, “our operating conditions in the first half were far from smooth. Fuel prices soared, squeezing our consumers while adding pressure to our operating costs. Against this backdrop, cost discipline became all the more important. We
proactively tightened spending while also rolling out measured pricing action well below inflation, aiming to strike a balance between cushioning rising costs and keeping our goods within reach for our consumers.”
For the six-month period, CNPF’s gross margins stood at 25.9%, mildly expanding by 20bps from the same period last year. This offset the 20bps increase in operating expenses as a percentage of sales, leading operating income to increase by 15% versus the same period last year, in lockstep with topline. During the period, the Company saw an increase in finance costs and effective tax rates, due to a moderate uptick in short-term debt and the expiration of tax incentives. Thus, headline net income after tax landed at Php 4.1 billion in the first half, reflecting a growth rate of 6% YoY.
CNPF recognized one-offs during the period coming from the impact of an earthquake that hit General Santos, where key manufacturing hubs are located, in June. Sans the impact of the earthquake, 1H26 core operating income growth registered at 18%, while core net income after tax growth was at 10% YoY. These non-recurring provisions for damaged inventory and facilities are still subject to insurance claims, with timing differences in recognition.
The Company closed the first half of the year with a healthy balance sheet. Its gearing and net gearing ratios stood at 0.33x and 0.28x, respectively.
NAVIGATING THROUGH UNCERTAINTY TO DELIVER CONSISTENT, SUSTAINABLE GROWTH
CNPF was recently recognized among Asia’s Best Companies 2026, a poll-based award by FinanceAsia voted on by investors and analysts, garnering the gold award for Best Managed Consumer Staples Company in the Philippines. Manapat shared, “It is an honor to receive this vote of confidence from the investing community. We take this as feedback that our drive for sustainable growth in the face of volatility is heading in the right direction.
“At Century Pacific, the aspiration to sustain our momentum in the double-digit growth territory remains. In the face of these headwinds, we are focused on navigating the year as smoothly as possible, while remaining steadfast in pursuing long-term growth opportunities.
“Our near-term priorities include shoring up inventory for food security and business continuity, keeping a tight rein on spending, and strengthening our value for money offerings to consumers. At the same time, investment in capacity expansion continues across our businesses. We have earmarked approximately Php 8 billion in capital expenditure this year, double our typical annual investment, reflecting our confidence in the company’s growth prospects. Amid turbulence, our efforts remain measured and deliberate, all in service of our mission to provide our consumers with affordable nutrition,” Manapat concluded.
