Super Group Ltd. (SGX: S10) is a leading instant food & beverage (F& B) brand owner with a strong market presence in Southeast Asia (SEA).

The firm operates in two main business segments &ndash Branded Consumer (BC) and Food Ingredients (FI). The BC segment takes care of the sale of instant coffee mixes, instant tea, cereals, cup noodles and so on. Under the segment, the company owns sub-brands such as Super, Owl, and NutreMill. Meanwhile, the FI segment is involved in the manufacture of various beverage-ingredients for sale to other beverage manufacturers.

The F& B firm released its second quarter results on Monday. Let&rsquo s take a look at what was announced.

For the three months ended 30 June 2014, revenue declined 5% year-on-year to S$131.7 million while net profit plunged 59% to S$15 million.

The lower revenue was mainly due to lower BC sales. Super had experienced a 9% decline in BC sales to S$83.7 million after experiencing slower sales into its SEA markets. Of the 9% decline, 4% was due to a weakened Thai Baht and Malaysian Ringgit against the Singapore Dollar. The lower sales into SEA markets were partially offset by higher sales in East Asian markets.

The FI segment helped pick up some of the slack with a 4% climb in revenue to S$48 million. Higher sales in SEA had helped Super here, more than offsetting lower sales into China.

Due to lower operating profit and a S$17.1 million one-off gain recorded last year, Super&rsquo s net profit had collapsed by 59% as mentioned earlier. The one-off gain had occurred when the company sold its 35.3% interest in Sun Resources Holdings Pte Ltd.

As of the end of June 2014, Super had a cash balance of S$78 million and total debt of S$21 million. In the previous year, it had negligible debt. The increase in borrowings was to finance its expansion projects. Super has already spent around S$25 million on capital expenditures so far this year for a number of things: Its Tuas factory extension in Singapore the construction of a new China Changzhou plant its Botanical Herbal Extraction facility in Malaysia and a new soluble spray-dry coffee powder facility.

Going forward, management commented they will &ldquo adopt a 3-pronged strategy which consist of branding, product innovation and talent management to build on these fundamentals.&rdquo In the second half of this year, a series of marketing campaigns has been lined up for the company&rsquo s core markets, which include Thailand and Malaysia. In Thailand, a new product, Super Brown Coffee, was launched and in Malaysia, 2 well-known celebrities, Mr Izzue Islam and Ms Yana Samsudin, were brought on board to launch a major campaign five days ago (7Aug 2014) to help the company engage with younger consumers.

Mr David Teo, Chairman and Managing Director of Super Group, commented on the company&rsquo s future plans:

&ldquo Despite ongoing macro-economic headwinds impacting consumer behaviours, we will continue to focus on growth initiatives like branding campaigns, driving product innovations and launching exciting products in our markets. We expect these strategies to deliver long term growth and create value for our shareholders. We continue to share the fruits of our labour with our shareholders by declaring an interim dividend of 1.0 SG cents per share taking into account that the number of shares in issue has doubled following the Company&rsquo s 1-for-1 bonus issue exercise on 4 June 2014. &rdquo

With reference to a previous article on the company I wrote, Super is indeed &ldquo not resting on its laurels&rdquo . It seems to be always looking at ways to increase profitability and entrench its market position.

Shares of the F& B firm last changed hands at S$1.445 on Monday, down 3.1% from last Friday&rsquo s close.