Robinsons Retail Holdings Inc., a member of the Gokongwei Group, reported a 7.6 percent improvement in core net earnings to P4.1 billion in the first nine months of 2024 from the P3.79 billion earned in the same period last year.
In a disclosure to the Philippine Stock Exchange (PSE), the firm said this is due to an increase in gross profit and higher operating efficiencies.
Attributable net income surged over threefold year-on-year to P7.81 billion from P2.58 billion due to a one-time gain from the merger of Robinsons Bank into the Bank of the Philippine Islands (BPI), which was booked in the first quarter of 2024.
Likewise, earnings per share (EPS) increased substantially to P5.38 per share in the nine-month period of 2024 from P1.75 in the comparable period last year.
"Our year-to-date performance reflects the resilience of our staples businesses, particularly in food and drugstores," said RRHI President and CEO Robina Gokongwei-Pe.
RRHI’s net sales hit P142.4 billion for year-to-date September 2024, up by three percent from P138.2 billion in the first nine months last year, driven by sustained contributions from its core food and drugstore segments.
Third quarter 2024 net sales reached P48.7 billion, 3.1 percent higher than the P47.22 billion in the same quarter of the previous year.
Gross profit for the nine-month period grew by 4.3 percent to P34.3 billion from P32.9 billion and by four percent to P11.82 billion from P11.37 billion in the third quarter, reflecting an improvement in sales mix and enhanced vendor support.
Operating income rose by 3.7 percent to P6.4 billion from P6.1 billion for the first nine months and was flattish in the third quarter at P2.3 billion on the back of higher costs from two new distribution centers to support the company’s store expansion plans.
“We expect to see an uplift in sales in the months ahead as consumers regain their confidence amid easing inflation. We remain committed to long-term value creation, including advancing sustainability efforts across our retail portfolio to ensure a lasting impact on our stakeholders,” said Gokongwei-Pe.
As of Sept. 30, 2024, Robinsons Retail operated a total of 2,413 stores consisting of 758 food stores, 1,101 drugstores, 50 department stores, 225 DIY stores, and 279 specialty stores. It also has 2,163 franchised stores of TGP.