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Net income rose 44.4 percent to P120 million, helped by merchandise gross margin improving to 46.1 percent from 44.1 percent a year earlier.
The quarter marked a stronger turn from the start of the year, when gross margin was 42.1 percent and earnings came under heavier pressure.
Marks & Spencer changes hands
SSI closed its nine remaining Marks & Spencer stores by May, ending its operation of the British retailer’s local stores, although the brand itself remains in the Philippines under a new operator.
The closures were part of a broader reshaping of SSI’s network, with 14 stores shut and nine new locations opened during the first half.
SSI ended June with 623 stores, up from 601 a year earlier, but total selling space declined 2 percent to about 123,000 square meters.
Sales hold up
First-half sales increased 12.3 percent to P15.1 billion, with growth spread across the portfolio:
The stronger second quarter was not enough to erase the weak start to the year, leaving first-half net income down 40 percent at P273 million as operating expenses grew 15.5 percent, faster than sales.
Stocking up for second half
SSI ended June with P12.8 billion of inventory, equivalent to nine months of stock, which the company said was in line with its target ahead of the second half and holiday season.
Cash fell by half to P2.6 billion from P5.3 billion at end-2025 as SSI built inventory, made supplier prepayments, invested in stores and repaid loans.
—Edited by Miguel R. Camus
