Axelum Resources Corp., a manufacturer and exporter of coconut products, said it expects better performance in the second half as the holiday season is fast approaching.
“Despite formidable headwinds, our business continues to generate momentum as we usher into our traditional peak season. With renewed optimism, we are confident of delivering even better results in the last semester of 2021,” said Henry J. Raperoga, president and COO of Axelum.
Since last year, Axelum has faced escalating shipping fees, delayed container turnover, limited cargo space and international port congestion. Due to rising global demand, enabled by global widespread economic recovery, the company said it continues to service increasing orders from major customers in key export markets.
For the domestic market, the company is gaining traction in the e-commerce space following the launch of its digital stores via leading e-marketplaces Lazada and Shopee. Since April, online monthly sales have nearly-tripled, while continuing to garner mainstream popularity among local consumers.
For 2021, Axelum’s nut opening plant, the largest standalone facility of its kind in the country, on average has been processing 21 percent more coconuts daily, to meet growing requirements for its products.
“To date, Axelum is producing at record output for its main product categories, translating to a busy manufacturing pipeline well into 2022,” the company said.
The company recently has been granted fresh tax benefits by the Board of Investments as a qualified entity under the Corporate Income Tax and Incentives Reform Act for organic/non-organic plant-based infused coconut drinks/juices and agglomerated coconut milk powder and other plant-based infused coconut milk powder products.
For the first half, its income grew more than half to P318.41 million from last year’s P202.93 million.
Revenues for the period rose 30 percent to P3.1 billion from last year’s P2.38 billion, primarily driven by robust volume growth across all core product segments.
In terms of volumes, desiccated coconut grew 24 percent, while sweetened coconut rose 34 percent, coconut milk powder at 11 percent and coconut water at 23 percent
This year, the company said it has produced record monthly output for its desiccated coconut, coconut water and coconut milk powder segments. It is on track to exceed last year’s total volume.