Robinsons Retail Holdings Inc., the Gokongwei family-led operator of supermarkets and specialty stores, saw first semester 2024 profits soar, thanks to a one-time gain from the merger of its Robinsons Bank with Bank of the Philippine Islands (BPI).
The underlying business also remained robust, with core earnings during the second quarter rising by 15.3 percent to P1.5 billion while first semester earnings grew by 12.1 percent to P2.6 billion.
“We continue to generate earnings growth by focusing on controllable factors such as opening stores in strategic locations, enhancing our merchandise mix, and streamlining costs,” Robinsons Retail Holdings President and CEO Robina Gokongwei-Pe said in a stock exchange filing.
The company’s net income attributable to equity holders of the parent company rose by 36.2 percent to P1.7 billion in the second quarter. First half earnings surged by nearly 300 percent to P6.8 billion, boosted by the bank merger with BPI.
Net sales increased by 3.1 percent in the second quarter to P47.8 billion, bringing total net sales for the first half of the year to P93.7 billion, a 3 percent rise.
The main drivers of this revenue growth were the food, drugstore, and department store segments. Despite ongoing inflation, same-store sales growth (SSSG) in the second quarter improved by 0.5 percent, with a blended SSSG of 0.7 percent for the first half of the year.
“We are confident that we can sustain the earnings momentum in the latter half of the year as we accelerate store openings, while moderating inflation should be a boon for consumer spending,” Gokongwei-Pe said.
Operating income kept rising faster than overall sales, thanks to a better sales mix, more support from vendors, and optimized costs. It grew by 7.3 percent to P2.2 billion in the second quarter and by 5.5 percent to P4.1 billion in the first half of the year.
