Liberty Flour Mills report 20%fall in net income for 2016
Liberty Flour Mills Inc. reported a 20-percent drop in its net income to P130 million due in part to falling prices and stiff competition.
In a disclosure to the stock exchange, Liberty Flour Mills said the volume of flour and mill its sold decreased by 23 percent even after it cut its selling price by 25 percent compared to 2015 levels.
The company said its revenues decreased by 27 percent.
The company’s gross income amounted to P1.07 billion last year, lower than the P1.4 billion reported a year ago. Its expenses, however, declined to P915.6 million from P1.12 billion.
Liberty Flour Mills, however, is looking to increase its net income by five percent this year but has no material commitments on capital expenditures just yet. It is planning to spend P50 million in the next three years to refresh and maintain its facilities in Mandaluyong City.