The move comes as URC's share price has fallen to levels last seen about 14 years ago, even as its core profit climbed 21 percent to P2.4 billion in the third quarter.
URC is the Gokongwei family's food and beverage manufacturing business, known for brands such as Jack 'n Jill, Great Taste, C2 and Piattos, with operations across the Philippines and other Asian markets.
The company's board approved the additional funding on Nov. 5, doubling its total share buyback allocation to P16 billion since the program began in the midst of the global pandemic in 2021.
URC has already spent P7.94 billion buying back nearly 89 million shares as of October 20, leaving about P8.06 billion available for further purchases.
Stronger earnings
By buying its own shares on the stock market, URC can reduce the number held by public investors while potentially supporting its share price and increasing the earnings attributable to each remaining share.
The additional buyback funding follows a stronger third quarter, when URC's sales rose 7 percent to P41.4 billion despite continued pressure on household spending.
Operating income jumped 14 percent as improvements in its international business, coffee, flour and sugar operations helped offset higher oil-related costs.
URC said the repurchases would be made through the Philippine Stock Exchange without disrupting its existing investments or planned expansion projects.
—Edited by Miguel R. Camus
