FRUITAS RETURNS TO PROFITABILITY
Leading kiosk operator Fruitas Holdings Inc. returned to profitability in the second quarter as it delivered a net income of P7 million despite the reimposition of tough lockdown measures in Greater Metro Manila.
This marked a turnaround from the P27.44 million net loss in the same quarter last year when quarantine protocols were at their strictest. Its bottom line also recovered from the P15.53-million net loss in the first quarter.
For the first semester, Fruitas narrowed its net loss to P8.63 million compared to the net loss of P12.34 million in the same period last year.
“As we record our first quarterly net income since the pandemic, we will continue to quarantine-proof our business. community stores remained resilient and have been instrumental in our push to generate more demand for our products online. Our wider network now allows easier access to and faster delivery of Fruitas products. It also makes us an attractive partner for other companies which want to target the same consumer base,” Fruitas president and chief executive officer Lester Yu said in a disclosure to the Philippine Stock Exchange.
Despite tighter lockdown measures through early April, Fruitas’ second quarter revenues came in at P263 million, compared to P261 million in the first quarter. In the same period last year, revenue dwindled to P87.91 million.
Sales contribution from Fruitas’ community stores reached 15 percent of second quarter total, in line with continued network expansion even as certain kiosks remained temporarily closed.
The company’s network included 67 community stores as of end-June, which has grown to 80 as of Aug. 15. The store count includes franchised Balai Pandesal stores, which came with the acquisition of this business in June 2021, as well as newly-opened stores.
For the first half of 2021, Fruitas’ revenue reached P524 million, up 13 percent year-onyear but still 44 percent lower than prepandemic level.
Despite the significant drop in total revenue versus prepandemic levels of 2019, average daily sales per store have recovered to about 70 percent of prepandemic level.
Fruitas likewise saw its gross margin improve to 60.6 percent in the second quarter from 59.2 percent a year ago. It also improved from the 58.1 percent gross margin in prepandemic full year 2019.
Attaining its fourth straight quarter of having positive cash flow, Fruitas posted earnings before interest, taxes, depreciation and amortization (Ebitda) of P55 million in the second quarter. This was even higher than the P54 million Ebitda in the first quarter of 2020, the last quarter before the pandemic lockdowns wreaked havoc on the economy.