CURRENT REPORT UNDER SECTION 17 OF THE SECURITIES REGULATION CODE AND SRC RULE 17.2(c) THEREUNDER
1. Date of Report (Date of earliest event reported)
Jan 22, 2024
2. SEC Identification Number
0000086335
3. BIR Tax Identification No.
000-417-352-000
4. Exact name of issuer as specified in its charter
Monde Nissin Corporation
5. Province, country or other jurisdiction of incorporation
Philippines
6. Industry Classification Code(SEC Use Only)
7. Address of principal office
Feix Reyes Street, Barangay Balibago, City of Santa Rosa, LagunaPostal Code4026
8. Issuer's telephone number, including area code
+63277597595
9. Former name or former address, if changed since last report
N/A
10. Securities registered pursuant to Sections 8 and 12 of the SRC or Sections 4 and 8 of the RSA
Title of Each Class
Number of Shares of Common Stock Outstanding and Amount of Debt Outstanding
Common
17,968,611,496
11. Indicate the item numbers reported herein
Item 9
The Exchange does not warrant and holds no responsibility for the veracity of the facts and representations contained in all corporate disclosures, including financial reports. All data contained herein are prepared and submitted by the disclosing party to the Exchange, and are disseminated solely for purposes of information. Any questions on the data contained herein should be addressed directly to the Corporate Information Officer of the disclosing party.
Monde Nissin CorporationMONDE
PSE Disclosure Form 4-31 - Press Release References: SRC Rule 17 (SEC Form 17-C) Section 4.4 of the Revised Disclosure Rules
Subject of the Disclosure
MONDE Provides Updated Fourth Quarter Guidance based on Preliminary 2023 Full-year Results
Background/Description of the Disclosure
• Based on the unaudited preliminary results for the full year 2023, MONDE expects a high single-digit year-on-year sales growth on a comparable basis. • Gross margin is expected to be in-line with 2022 margin as gross margin expansion in APAC BFB was offset by the decline in Meat Alternative gross margin in 2023. • Core net income expected to grow by mid-teens for the full year 2023. • APAC BFB business saw strong topline growth both year-over-year and sequentially during the fourth quarter. • The annual impairment test (IAS 36) in the meat alternative business is ongoing; MONDE expects that the family’s financial support will largely cover any potential impairment at the parent level.
Henry Soesanto, Chief Executive Officer, commented, “I am pleased to share that our preliminary fourth quarter results reflect the continued strength that we saw during the third quarter driven by our APAC BFB business. This led to another all-time high revenue for the quarter and for the year.”
The APAC BFB business saw strong topline growth both year-over-year and sequentially during the fourth quarter, aided by growth across all our major categories, particularly a robust growth in noodles and beverages. Our noodles market share improved by 140 bps to 67.3% and 380 bps to 67.5% for the past 52-week and 12-week periods as of December 2023, respectively. The fourth quarter sales growth in the domestic business was backed by all-time high volumes, which grew by more than 5% year-on-year and 2% sequentially. We saw continued margin expansion of over 400 bps year-over-year in the fourth quarter. Our commodity lock ins for wheat and palm oil until the second quarter and third quarter of 2024, respectively, are lower by a low double-digit percentage compared to the same period last year.
Our Meat Alternative business continues to navigate in a challenging environment as we expect a single digit decline for the fourth quarter. While the UK retail market has remained weak and continues to affect the topline, we anticipate being at least EBITDA neutral in the fourth quarter. The annual impairment test (IAS 36) in our meat alternative business is ongoing; however, we also believe the family’s financial support will largely cover any potential impairment at the parent level.
For the full year, we expect a high single-digit year-on-year sales growth on a comparable basis and gross margin to be in-line with 2022 margin as gross margin expansion in APAC BFB was offset by the decline in Meat Alternative gross margin in 2023. In addition, we expect core net income to grow by mid-teens for the full year 2023. Meanwhile, core net margin in the fourth quarter grew by more than 500 bps compared to the same period last year.
Other Relevant Information
This communication may contain forward-looking statements. These forward-looking statements are based upon current expectations and assumptions regarding anticipated developments and other factors affecting MONDE. Forward-looking statements are not historical facts, nor are they guarantees of future performance.
These forward-looking statements speak only as of the date of this document. Except as required by any applicable law or regulation, MONDE expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in MONDE’s expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based.
Please see attached Press Release on .pdf and the same disclosure on SEC Form 17-C.
Monde Nissin CorporationMONDE