By JAMES A. LOYOLA
AllHome Corporation, the one-stop home store chain of the Villar group, is targeting to grow its total selling space by 44 percent to over 450,000 square meters by the end of this year.
In a statement, the firm said it has already reached a total of 313,000 square meters of selling space as of the end of 2019 and is on track to hit its store expansion program for 2020.
“We are set to bring AllHome to more locations in 2020,” said AllHome Chairman Manuel B. Villar, Jr.
He noted that, “Our expansion program is both sustainable and strategic by taking advantage of the synergies between our real estate companies such as Vista Land as well as the opportunities in the home improvement industry in the Philippines.”
“When it comes to inventory sourcing for our stores, is was fortunate that we were able to get funding for our working capital in October last year through our initial public offering which contributed to our increased inventory cover,” said AllHome Presidents Benjamarie Therese N. Serrano.
She added that, “We already secured the needed inventories for our planned store expansions as well as for our existing stores which can last between 6 to 8 months.”
Serrano explained that, “In case of a prolonged effect of the recent corona virus disease (COVID-19) to China which serves as one of the major inventory sources of the home improvement players in the country, we can easily shift to our other existing sources like Vietnam, Indonesia, Malaysia, Thailand, India and even the United States.”
“Our fresh funds indeed came in at the right time when it comes to our inventory management,” she said.
AllHome registered 225 percent growth in net income for the first nine months of 2019 to ₱746.2 million from ₱229.7 million in the same period last year. Total revenues increased by 72% to ₱8.2 billion from ₱4.8 billion in the comparable period a year ago.
“We are confident of ending 2019 with at least ₱1 billion in net income given that historically our fourth quarter performance is typically our strongest when it comes to sales as our stores would benefit from the holiday season as they are strategically located and are part of our innovative ecosystem of world class retail concepts surrounding it,” said AllHome Vice Chairman Camille A. Villar.