Puregold Price Club Inc., the grocery chain of businessman Lucio Co, reported net income last year growing 13 percent to P9.3 billion from previous year’s P8.18 billion, on higher sales from its growing chain.
Its consolidated net sales last year proved higher by 12 percent to P184.3 billion from P167.33 billion, driven by a 6.6 percent same-store sales growth.
“(The company) has sustained a growth path throughout the pandemic by being a reliable partner to its suppliers and leveraging its reach and scale to bring value to its community of carded members,” it said.
Puregold’s sari-sari store customer base also gained more strength as one of preferred retail channels that saw robust demand even with record fuel prices, commodity shortages and higher transportation costs.
In the second half of the year, despite surveys showing declining consumer expectations, early holiday spending and greater normalization of in-person activities unhindered by health protocols provided impetus.
In the fourth quarter alone, Puregold reported revenues growing 16 percent year-on-year on the back of 11.7 percent consolidated same-store sales growth.
“The company still sees continued growth in its top line in the coming years due to country’s healthy underlying fundamentals, underserved demand and relatively raw retail landscape,” it said.
For this year, the company commits to keeping high inventory levels and increased business activities as it expands into more provincial areas.
The company also reported an increase in operating expenses, attributable to higher employee costs, utilities expense and lease-related charges partially offset by the execution of productivity initiatives.
The group opened 24 new Puregold stores and six S&R quick service restaurants.
The chain owns a total of 525 stores nationwide that include 452 Puregold stores, 22 S&R membership shopping warehouses and 51 S&R New York Style QSRs.
