23 May 2022
4Q2021 and Full Year 2021 Highlights:
- 4Q2021 revenues up 33% to Php330 million from Php248 million in 3Q2021
- 4Q2021 EBITDA at Php38 million from Php24 million in 3Q2021 due to better gross margin and controlled expenses
- 2021 revenue increased by 24% at Php1.1 billion versus Php892 million in 2020
- 2021 gross margin at 62% versus 60% in 2020
- 2021 EBITDA at Php131m, more than double the Php65m in 2020; 2021 EBITDA margin at
12.0%, compared to only 7.3% in 2020
- 2021 net loss of Php16 million, 66% lower than the Php48 million recorded in 2020, due to continuous rationalization of operations, including permanent closure of unprofitable kiosks, and easing of quarantine restrictions
1Q2022 Highlights:
- 1Q2022 net sales, comprising sales of company-owned kiosks and stores and commissary sales to franchisees, increased by 26% to Php330.5 million from Php261.4 million in 1Q2021; greater than 4Q2021 sales at Php329.7 million despite the lack of holiday seasonal uptick and Level 3 restrictions in January 2022
- Gross Profit Margin for the first three months of year increased to 62.2% compared to 61.9% in 2021; even higher than the 60.7% in 1Q2021.
- 1Q2022 EBITDA at Php53 million, consistently positive dating back from 3Q2020
- 1Q2022 net income at Php6 million, a reversal from Php16 million net loss from the same period in 2021
- The registration statement for the IPO of Balai ni Fruitas, Inc. (BALAI), wholly-owned subsidiary of FRUIT, was formally received by Securities and Exchange Commission (SEC) on February 17, 2022. BALAI shares are targeted to be listed on the Small, Medium and Emerging Boards of the Philippine Stock Exchange (PSE). However, the IPO of BALAI and the timing of the IPO are subject to compliance with requirements of the SEC and PSE, obtaining approvals of the SEC and PSE.
4Q2021 and FY 2021 performance
Fruitas Holdings, Inc. (FRUIT) continued its recovery momentum in the fourth quarter of 2021.
Consolidated revenues increased 33% to Php330 million during the last quarter of 2021 from Php248 million in the third quarter of 2021. Full-year net loss for 2021 was at Php16 million, 66% lower than the Php48 million recorded in 2020.
Revenue performance for 4Q2021 was 25% higher than in the same quarter of 2020 due to easing of restrictions and heightened mobility. FRUIT posted a positive EBITDA of Php38 million in 4Q2021, a 57% improvement from Php24 million in 3Q2021. Full-year EBITDA also more than doubled to Php131 million in 2021 from Php65 million in 2020.
The further easing of quarantine restrictions and strengthened vaccination initiatives has allowed the company to register a 24% revenue growth from Php892 million in 2020 to Php1.1 billion in 2021. The recent entry to the baked goods industry, through Balai Pandesal, has also allowed the Group to improve its gross profit margin for 2021 to 62% compared to 60% in 2020.
1Q2022 performance
FRUIT’s net sales was maintained in the Php330 million-level in the first quarter of 2022, the same level as the fourth quarter of 2021. This was achieved despite the lack of seasonal uptick from the Christmas season, including lechon sales, in the first quarter of 2022 and the Level 3 restrictions imposed in January 2022.
Revenue performance for 1Q2022 was 26% higher than in the same quarter of 2021, and already 88% of the 1Q2020 revenue level even with less number of stores. For 1Q2022, FRUIT posted a gross margin at 62.2%, which is better than the 61.9% gross margin in 2021 and 60.7% in the comparable quarter in 2020 (1Q2020).
FRUIT posted EBITDA of Php53 million in 1Q2022, with EBITDA being consistently positive dating back to 3Q2020. FRUIT registered a net income of Php6 million in 1Q2022, higher than the breakeven of 4Q2021, but a significant improvement from a net loss of Php16 million in 1Q2021.
FRUIT had about 700 stores in its network in March 2022 and had already added about 10 stores in 2022 until May 23, 2022.
The registration statement for the IPO of Balai ni Fruitas, Inc. (BALAI), wholly-owned subsidiary of FRUIT, was formally received by Securities and Exchange Commission (SEC) on February 17, 2022. BALAI shares are targeted to be listed on the Small, Medium and Emerging Boards of the Philippine Stock Exchange (PSE). However, the IPO of BALAI and the timing of the IPO are subject to compliance with requirements of the SEC and PSE, obtaining approvals of the SEC and PSE.
“We are fully committed to deliver value to our shareholders by improving operations and profitability. The potential IPO of BALAI will be an important exercise for us, which we expect to complete in first half of 2022,” said Mr. Lester Yu, Fruitas Holdings Inc. President and Chief Executive Officer.
Full year 2021 (versus full year 2020) performance
| (Php millions) | 2021 | 2020 | % change YoY |
| Revenue | 1,102 | 892 | 24% |
| Gross Profit | 682 | 535 | 27% |
| EBITDA | 131 | 65 | 102% |
| Reported net income / (loss) | (16) | (48) | 67% |
| Margins | |||
| Gross profit margin | 61.9% | 60.0% | |
| EBITDA margin | 11.9% | 7.3% | |
| Net income / (loss) margin | (1.5%) | (5.4)% |
First Quarter 2022 (versus First Quarter 2021) performance
| (Php millions) | 1Q2022 | 1Q2021 | % change YoY |
| Revenue | 330 | 261 | 26% |
| Gross Profit | 205 | 159 | 29% |
| EBITDA | 53 | 15 | 253% |
| Net income / (loss) | 6 | (16) | 138% |
| Margins | |||
| Gross profit margin | 62.2% | 60.7% | |
| EBITDA margin | 16.1% | 5.6% | |
| Net income / (loss) margin | 1.8% | (5.9%) |
Note on the potential IPO of BALAI: The shares of BALAI may not be sold, nor offers to buy them be accepted prior to the time the registration statement is rendered effective. This disclosure shall not constitute an offer to sell or be considered a solicitation to buy. In light of the risks and uncertainties associated with forward-looking statements, prospective investors should be aware that the forward-looking events and circumstances in the Prospectus may or may not occur.
BALAI’s actual results could differ significantly from those anticipated forward-looking statements.
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