Pepsi Cola Products Philippines Inc. has approved its exit from the snacks business as it streamlines its operations to increase profitability.
In a disclosure to the stock exchange, PCPPI said it board approved the “discontinuation of the snacks portfolio to focus on and strengthen the company’s core business lines.
PCPPI is engaged in the manufacturing, sale and distribution of carbonated and non-carbonated beverages which include Pepsi-Cola, 7Up, Mountain Dew, Mirinda, Mug, Gatorade, Lipton, Tropicana/Twister, Propel and Sting. It has 14 bottling plants throughout the country, serving more than 700,000 outlets.
The company entered the snack food business in 2015 via a partnership with PepsiCo, maker of popular brands Cheetos, Lays, Ruffles, Tostitos, Doritos, Fritos and Walkers. This was in line with its goal to become a premier food and beverage firm in the Philippines.
PCPPI swung to profitability in the first half as it posted a net income of P446.06 million from a loss of P48.6 million. Net sales rose to P18.4 billion from P16.58 billion.