Pepsi-Cola PHL ‘cautiously optimistic’ on prospects

Bottler Pepsi-Cola Products Philippines Inc. (PCPPI) said it is cautiously optimistic about its growth prospects for the year despite its strong performance in the first quarter.

The exclusive manufacturer of PepsiCo beverages in the country said it was able to sustain the momentum it made in 2021 during the early part of the year, which it said was a “fast start for both carbonated soft drinks and non-carbonated beverages.”

The company, however, said it “sees the huge challenge of increasing commodity prices for the year.”

“Our first quarter volume surpassed the total sales of 2021 and 2019 pre-pandemic level. Our leading brands Mountain Dew and Sting hit a remarkable growth versus previous year,” Frederick D. Ong, the company’s president and CEO, said.

“Overall, we delivered good 2021 results, thanks to the entire PCPPI team for their hard work, dedication, and openness to welcome new ways,” Ong said, adding that the company improved its market share and distribution efforts.

The company said its focus on improving the efficiency in its returnable glass bottles and PET (polyethylene terephthalate) lines increased its productivity savings last year and exceeded its targets.

Ong said it is investing further to expand its carbonated softdrinks PET lines.

Its newest Southern Tagalog Regional Office softdrinks PET line is currently at 92 percent performance, the company said.

This line became operational in February 2021 in response to the growing PET market. The company is also working on the next facility that will be capable of producing more PET to serve this growing segment of the market, it said.

The company said it launched a project meant to optimize its network and operational routes, after completing the design and implementation of its organizational transformation meant for the company to weather the changing environment.

The company also ramped up its digital agenda to improve working practices and quality. They also launched a more robust time and attendance recording and rolled out an information security plan to maintain the integrity of its information and system.

“We look forward to reaping the benefits of our transformation journey this 2022. In collaboration with Lotte and PepsiCo, we will further work towards achieving our mid- and long-term profitable growth and ultimately realizing our vision to be the leading beverage company in the country,” Ong said.

“Our 2021 performance is a testament to how we courageously rose from the impact of the pandemic. Covid-19 challenged the business and abruptly challenged the market landscape. Yet, we did not stand down. We were quick to respond, adapt, and think ahead to guard the sustainability and profitability of the business.”

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