Newly-listed personal computer and information technology products retailer Upson International Corp. said Monday net income in the first quarter was up 2.2 percent to P112.6 million, with margins still squeezed by the start-up costs of new stores.
Revenue in the January-March quarter was up 14 percent to P2.09 billion.
Upson rounded the period with 211 branches and currently constructing 22 more branches as part of a goal to end 2023 with 250 stores in operation. The rapid expansion is being financed with proceeds from its recent P1.65 billion initial public offering. It listed on the Phililppine Stock Exchange on April 3.
“The start-up costs and other operational priorities associated with the branch roll out will easily translate to revenue improvements. The resulting improvements in profit margins per newly set up branch become more evident after a year,” said Arlene Sy, presidet and chief executive officer of Upson.
Under is five-year branch rollut plan, Upson expects to have a network of 450 stores by the end of 2027.
“We remain confident that our growth momentum will continue throughout the year as we strive to further enhance our market presence to more underserved markets and deliver value to our customers,” Sy added.
Upson is a company that operates several retail outlets such as Octagon Computer Superstore, Micro Valley, Gadget King, as well as concept and specialty stores like Acer, HP, Brother, Octagon Mobile and Silvertec in select locations.
