Splash releases 2012 and Q1 2013 results

Splash Corporation, a company listed at the Philippine Stock Exchange, registered an increase of 7 percent in its net income after tax to Php92 million for the whole year of 2012. This increase was achieved despite almost flat consolidated net sales growth of 1 percent to Php3.55 billion.

Splash’ Foods Business recorded an increase in sales of 275 percent, while the Direct Selling Business, organized only three years ago to develop a more direct route to consumers, registered another year of rapid growth at  36 percent.

International Operations Division registered moderate growth with sales increasing by 8 percent. These increases in food, direct selling and international operations helped to temper the 11 percent decline in sales of the Philippine Operations Division, which was affected by the transition of the distribution strategy to better reach the general trade.

“The results of the whole year of 2012 moving forward to the first quarter of 2013 validate our strategic shift to transform Splash Corporation into a strong player in the growing categories of fast-moving consumer goods, particularly in the food industry, which complement, synergize and provide economies of scale with our core personal care business,” explained Dr. Rolando B. Hortaleza, Splash Chairman and CEO.

The results of Splash’s transformation into a more diversified company in terms of products, markets and routes to consumers are more markedly seen in the 2013 first quarter results.

Consolidated net sales in Q1 grew by 11.4 percent to P766 million versus last year’s P687 million. Although operating expenses grew by 8 percent to P416 million, operating profit went up to P29 million or by 147% compared to last year’s P11.7 million. Even with higher financing charges and other expenses, as Splash entered the midpoint of a 5-year plan of transformation, investment and consolidation after two decades of exponential growth, Splash ended the quarter with a net income after tax of P12.8 million, 18.8 percent better than last year.

Splash Corporation provides pioneering and high-quality products and services that cater to the universal desire of people to look good and live well. From a leadership position in the Philippines, it is successfully venturing into high-growth markets in Southeast Asia, Africa, the Middle East and North America..