By Madelaine B. Miraflor
Cosco Capital, Inc., the retail holding firm of tycoon Lucio L. Co, reported a consolidated net income growth of 12.4 percent to P8.8 billion in 2018 on the back of higher consumer spending.
The firm’s net income attributable to equity holders of the parent company also grew by 12.7 percent to P5.5 billion, a disclosure at the Philippine Stock Exchange showed.
The group’s grocery retailing businesses, Puregold Price Club, Inc. and S&R Membership Shopping Club, contributed 60 percent of total profits, followed by the commercial real estate segment with 19 percent and the Liquor Distribution with 13 percent.
The group’s specialty retailing segment, composed of Liquigaz Philippines Corporation (Liquigaz) and Office Warehouse, Inc., accounted for 8 percent of net profit.
The group’s grocery retail segment, Puregold Price Club, Inc. and S&R Membership Shopping Club, particularly grew its consolidated revenues by 13.2 percent to P140.9 billion, while consolidated net income increased by 11.6 percent to P6.52 billion.
During the period, the group opened a total of 30 new Puregold stores, 2 new S&R Warehouse Clubs and 7 new S&R QSR.
The liquor distribution business, on the other hand, posted a 31.3 percent growth in revenues to P8.7 billion, on the back of a 32 percent increase in volume of cases sold in 2018. The growth is primarily driven by the increase in sales of Alfonso Light Brandy and Alfonso Brandy.
For the Specialty Retailing business segment, Liquigaz Philippines Corporation generated a 30 percent increase in revenues to P17 billion. This was mainly driven by increase in sales volume and the recovery in global LPG prices during the period. Liquigaz’ net income also increased by 33.5 percent to P626 million.
As for Office Warehouse, Inc., its revenues grew by 15.5 percent to P2 billion. Office Warehouse currently has 88 stores in operations.
Meanwhile, the group’s commercial real estate segment posted 10.6 percent increase in total revenues to P2.4 billion and 10.4 percent increase net income of P1 billion in 2018.