Here's where Del Monte can cultivate its growth
Its new products are well received by customers.
Whilst its main contributor remains to be the United States, analysts from DBS Group Research are seeing the Philippines and Middle East as an emerging powerhouse market for Del Monte Pacific.
According to Andy Sum and Alfie Yeo, the group will be able to benefit from the growing consumption in the Philippines.
"This will benefit the group given that it is the market leader in the processed fruits and vegetables segment. New products such as the 1L tetra juice drinks are also well received by consumers," the two analysts said.
The group sales in the Philippines were up 6.2% and S&W brands' business sales in Asia and the Middle East grew by double digits in FY17.
"Whilst Asia Pacific and the Philippines contributed only 25% of revenue in FY17, the strong growth in revenue from these markets will be important for the group’s organic growth," they noted.