Robinsons Retail 9-month profit jumps nearly 63%
Gokongwei-led Robinsons Retail Holdings Inc. weathered the inflation contagion with hefty nine-month profit of P4.4 billion, up nearly 63 percent.
At the same time, January to September sales jumped 16.7 percent to P127.1 billion while gross margins increased by 80 basis points to 23.7 percent despite cost pressures.
“Robinsons Retail’s stellar performance in the third quarter validates our view that the retail climate in the Philippines remains healthy notwithstanding rising inflation,” Robinsons Retail Holdings president and CEO Robina Gokongwei Pe said in a statement on Wednesday.
“Sustained reopening trends have translated to higher volumes and operating leverage. We continue to invest in our multi-format categories – be it in the offline or online channels – as we remain steadfast in our commitment to provide quality products and services,” she added.
The company said earnings were lifted by “double-digit topline growth across most segments, gross margin expansion, better operating leverage, and foreign exchange gains.”
For the third quarter alone, net income expanded by 60.8 percent to P1.7 billion. Net sales also went up 19.3 percent to P44.7 billion, which was above the prepandemic figure.
Same store sales growth, or SSSG, grew by 15.1 percent. Higher transaction count due to improved mobility particularly from back-to-school trends, return-to-work mandates, and increased travel and tourism boosted SSSG, Robinsons Retail said.
Moreover, gross margin in the third quarter expanded by 120 basis points to 24 percent. This was driven by better product mix, the company noted.
Earnings before interest and taxes surged 53.4 percent to P2.3 billion in the third quarter as operating expenses were kept in check amid cost controls.