GOKONGWEI-LED Robinsons Retail Holdings Inc. (RRHI) said Tuesday that net income for the first half of 2024 had more than tripled to P7.08 billion, from P2.08 billion in the same period last year, on higher gross profit and operating efficiencies.
Core net income for January to June grew 12.1 percent to P2.65 billion from P2.36 billion a year ago while net sales rose 4.4 percent to P22.48 billion from P21.5 billion, the firm told the stock exchange.
“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,” RRHI President and Chief Executive Officer Robina Gokongwei-Pe said.
For the second quarter of 2024, RRHI recorded a core net income of P1.5 billion, up 15.3 percent from last year’s P1.3 billion, while net income in the period surged 33.7 percent to P1.87 billion from P1.4 billion a year ago.
From April to June, net income attributable to equity holders of the parent company (NIAP) rose 36.2 percent to P1.7 billion, boosted by higher dividend income from the Bank of the Philippine Islands (BPI).
Given the strong growth in the second quarter, NIAP in the first half was up nearly four times, jumping to P6.8 billion from P1.8 billion a year earlier, thanks to a one-time gain from the BPI-Robinsons Bank merger in the first quarter.
Meanwhile, net sales for the second quarter grew 3.1 percent to P47.8 billion, resulting in first-half net sales of P93.47 billion, up 3 percent from a year ago, driven by strong revenue from its food outlets, drugstores and department stores.
Improvements in the sales mix, higher vendor suppor, and optimized costs generated an operating income of P2.2 billion for the second quarter, a 7.3-percent increase from P2 billion a year ago, while operating income for the first six months climbed 5.5 percent to P4.1 billion.
“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.
As of end-June, RRHI operated a total of 2,401 stores consisting of 1,082 drugstores, 755 food outlets, 291 specialty stores, 224 DIY stores and 49 department stores. It also has more than 2,100 franchised stores of its The Generics Pharmacy business.
On Tuesday, RRHI shares dropped 40 centavos, or 1.1 percent, to P36 apiece amid a 0.64-percent fall for the benchmark Philippine Stock Exchange index.
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