LISTED food and beverage company RFM Corp. said full-year 2011 profit declined less than initial forecast as raw material costs eased in the second half.

In a statement on Tuesday, RFM said net income last year increased by 19.4 percent to P503.8 million, better than consensus market forecasts of P420 million to P430 million. It added the sales rose 8 percent to P9.9 billion last year.

“We believe that stronger brand equity and product innovations have influenced the shift in buying pattern and frequency in a number of categories,” said President and CEO Jose A. Concepcion III.

“The focus on core food and beverage businesses is paying off,” he said, noting that Selecta ice cream, RFM’s joint venture with Unilever, increased its market share to 71 percent from 66 percent at the start of the year.

The flour-based business led by White King Fiesta grew by half in terms of sales, while increasing market share to 35 percent from 25 percent.

The company, which has yet to release its full-year financial statements, said other business segments performed “well” during the period.

RFM shares added 1.32 percent to P1.53 each on Tuesday, giving it a market value of P4.8 billion.