RRHI profits surge 64% in first half

Published August 5, 2022, 12:42 AM

by James A. Loyola

Robinsons Retail Holdings, Inc. reported a 64 percent jump in attributable net income to P2.7 billion in the first half of 2022 from P1.67 billion in the same period last year due to robust gains from the second quarter.

In a disclosure to the Philippine Stock Exchange, the firm said Net sales grew 15.3 percent to P82.4 billion in the first semester of the year from P71.4 billion in the comparative period of 2021.

E-commerce sales accounted for 3.6 percent of sales, an increase from 2.8 percent last year. EBITDA improved by 25.8 percent to P7.2 billion.

Attributable net income more than doubled to P1.6 billion in the second quarter of 2022 from the P724 million in the same period last year and higher than pre-pandemic level in 2019 by 44.7 percent.

“The surge in profitability is on account of good operating performance and full quarter impact of the austerity measures implemented last year,” said RRHI.

Net sales reached P42.9 billion in the second quarter, growing by 19.8 percent versus last year and surpassing pre-pandemic level by 7.7 percent.

Improved overall sales were driven by the 15.5 percent Same Store Sales Growth (SSSG). The significant increase in SSSG, which was a huge turnaround from previous year’s minus 3.4 percent, was due to higher transaction count across segments, given improvements in mobility and easing of border restrictions.

Gross profit climbed 25.5 percent to P10.2 billion in the second quarter mainly due to better product mix, with margin rising 100bps year-on-year. EBITDA advanced by 32.7 percent to P3.8 billion.

RRHI President Robina Gokongwei-Pe

“Our banners performed very well during the second quarter. Our cost-efficiency efforts have also continued to yield positive result,” said RRHI President and CEO Robina Gokongwei Pe.

She added that, “Thus, we are in a position of renewed fervor and strength to further widen our already expansive offline and online reach and broaden our ecosystem of products and services in order to gain more valuable customer relationships.”