RFM Corp. sees continued business strength

LISTED food and beverage producer RFM Corp. expects to sustain the performance of its brands and businesses this year, according to its chief executive officer (CEO).

The company’s businesses could perform well this year, with “input price inflation within reasonable levels so far,” RFM CEO Jose Ma. A. Concepcion III said in a stock exchange disclosure on Wednesday.

“RFM has no debts and has a strong balance sheet that enables our steady declaration of cash dividends. We have also completed some big capital expenditures in 2024 like the new Silang, Cavite bakery plant and new Selecta Milk lines and will just be on the lookout for opportunities to grow our businesses,” Mr. Concepcion said.

“Our pipeline of new products is quite packed for our ice cream, pasta, and milk brands, which will ensure organic growth for RFM in the near term,” he added.

For 2024, Mr. Concepcion estimated that RFM’s total revenues are on track to hit P22 billion while income is trending to grow double-digit to the P1.4 billion to P1.5 billion range, led by the branded consumer and institutional businesses, according to unaudited figures.

RFM’s 2024 net income is pegged to have climbed by up to 18% versus the P1.27 billion in 2023 if the projection is realized.

The company’s 2024 revenue is estimated to have increased by 6.3% from P20.7 billion in 2023.

Strong consumer demand for the company’s pasta products lifted last year’s sales on top of the Christmas baskets bought by local government units for their constituents, Mr. Concepcion said.

RFM said its board has approved a P200-million cash dividend or P0.05936 per share payable on Feb. 18 with a record date of Jan. 22.

“RFM declared a total of P1.3 billion in cash dividends in 2024, up from P850 million in 2023. At the share price of P3.87 at end-2024, RFM’s 2024 dividend yield is 10%,” the company said.

The company also announced the appointment of Maria Victoria Catherine O. Concepcion-Puno as assistant vice-president and head of marketing of the consumer group, effective Jan. 2.

RFM owns 50% of Unilever RFM Ice Cream, Inc., which sells the Selecta, Magnum, and Cornetto brands.

The company also owns brands such as Royal and Fiesta pasta and sauces, Selecta Milk, and White King mixes.

RFM shares were unchanged at P3.89 per share on Wednesday. — Revin Mikhael D. Ochave

RFM Corp. sees continued business strength
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