Fruitas net income up 41% in Q1

Food kiosk operator Fruitas Holdings Inc. (FHI) posted a 41% growth in its bottom line for the first quarter of 2020, but noted that the succeeding quarter has been "more difficult" amid lockdowns imposed to prevent the spread of COVID-19.

In an emailed statement, Fruitas said its net income rose to P14.6 million in January to March from P10.3 million in the same period in 2019.

This came even as revenues fell by 12% to P374.1 million from P422.9 million previously, bringing gross profit down 9% to P224.3 million from P245.2 million.

"We experienced strong sales growth in the first quarter of 2020, although it was cut short by the quarantine," said FHI president and chief executive officer Lester Yu.

"However, the cost containment measures we had earlier implemented, as well as our flexible cost structure, allowed us to cut costs to deliver higher net income in the first quarter of 2020 compared to 2019," he added.

Metro Manila and other "high-risk" areas were placed under an enhanced community quarantine (ECQ) from March 17 to May 15, followed by a modified enhanced community quarantine (MECQ) until May 31.

A general community quarantine (GCQ) was put in place from June 1 to 15, and has since been extended until June 30. No guidance has been provided what follows as of this writing.
 

"The second quarter has been more difficult for us, but we look forward to reopening more stores, so the combined strength of our traditional channels and new revenue streams from delivery and partnerships can provide even better returns for our shareholders," said Yu. —Jon Viktor D. Cabuenas/KBK, GMA News