LISTED sugar miller Victorias Milling Co., Inc. (VMC) posted a 2.8% rise in attributable net income to P840.03 million for its fiscal year that ended on Aug. 31, 2020, carried by higher revenues and lower operating expenses.
“Efforts were focused in attaining target production efficiencies, which delivered optimum results as well as in adopting cost reduction measures that helped protect profit margins and lowered operating expenses considerably,” the company said in a stock exchange disclosure on Tuesday.
In the previous year, the company’s attributable income was at P817.49 million.
For its 2020 fiscal year, revenues rose 24.7% year-on-year to P6.96 billion, against P5.58 billion in 2019, due to higher milling service income at P2.21 billion.
VMC said sugar sales dropped, but this was offset by its distillery segment results. Refined sugar and raw sugar sales went down 23.1% and 7.1% to P1.86 billion and P1.56 billion, respectively.
However, ethanol sales climbed 18.7% to P705.11 million, from P594.26 million in 2019, while alcohol sales jumped to P118.37 million.
“Ethanol volume sold increased by 10% and price was favorable compared to last year. The group also introduced a rubbing alcohol brand V-Protect to the market due to necessity and increased demand during the height of the pandemic,” the disclosure said.
Meanwhile, VMC’s operating expenses fell 30.1% to P594.25 million against P850.11 million last year.
“The level of operating expenses significantly decreased compared last year due to lower professional fees and contracted services, representation, taxes and licenses, among others,” the disclosure said.
Located in Negros Occidental, VMC has business interests in integrated raw and refined sugar production, food, power, distillery, and recreation.
The company’s subsidiaries include Victorias Foods Corp., Canetown Development Corp., Victoria’s Golf & Country Club, Inc., Victorias Agricultural Land Corp., and Victorias Green Energy Corp.
On Tuesday, shares in VMC at the stock exchange remained at P2.50 per piece. — Revin Mikhael D. Ochave