Upson International sees sustained growth, sets expansion
MANILA -Gadget retailer Upson International Corp. projects sustained growth in its operations this year after registering a better bottom line in the first quarter, supported by robust sales.
In a disclosure on Monday, the listed company reported its net income rose by 2.18 percent to P112.62 million in the first three months from P110.21 million a year ago.
Sales revenues for the period climbed by 14.17 percent to P2.4 billion from the previous year’s P2.09 billion.
“We remain confident that our growth momentum will continue throughout the year as we strive to further enhance our market presence to more underserved markets and deliver value to our customers,” Upson president and CEO Arlene Sy said.
Currently, the company behind Octagon Computer Superstore, Micro Valley and Gadget King runs 212 branches across the country. A total of 24 additional outlets are under construction or in the process of lease contract finalization.
By the end of this year, Upson is targeting to have 250 branches in its portfolio.
The listed company has a five-year plan of rolling out a total of 450 branches by 2027.
“The start-up costs and other operational priorities associated with the branch roll out will easily translate to revenue improvements,” Sy said.
Apart from outlet expansion, Upson previously shared plans to build nine new warehouses and distribution facilities in Manila, Cabanatuan, Dagupan, Naga, Iloilo, Bacolod, General Santos, Zamboanga and Palawan.
Sy previously said they were continuously expanding their “retail footprint nationwide, along with warehouses and logistics operations, to reach underserved markets.”
On April 3, Upson debuted at the Philippine Stock Exchange after completing a P1.65-billion initial public offering. First Metro Investment Corp. was the issue manager and bookrunner for the transaction.
The company was founded by entrepreneurs Ricardo Lee and William Lim in the 1990s. It became the country’s biggest consumer electronics retailer in terms of store count and revenues in 2020, according to third party research firm Center for Research and Communication.