April 28, 2013

Victorias Milling to pare down debt in August

The country’s largest sugar miller Victorias Milling Corp. expects to pare down its debt to around P2.8 B by August, the end of the current crop year, according to its top official. VMC chairman Wilson Young said the firm would pay about P1 B in debt in June as part of hardline efforts to reduce debt service costs, rebuild its balance sheet and restore liquidity.

VMC’s continued efforts on machinery and equipment upgrade and modernization aimed at improving factory efficiencies and product quality, boosted the company’s bottomline. As a result, raw sugar production increased by 12% (for fiscal year ending August 2012) while refined sugar production expanded by 37%, translating to higher revenues despite lower sugar prices. Net income grew 39% to P556 M.