New store openings bolstered earnings of Metro Retail Stores Group Inc. in the second quarter, tripling net profit to P132.9 million from P50.1 million last year as sales increased 6.6 percent to P9.9 billion.
Same-store sales in the second quarter was up 1.7 percent in the second quarter, a reversal from a 1.7 percent decline in the first quarter.
First half net income jumped 46 percent to P146.3 million.
Both core business segments contributed to the gains. Food retail sales rose 2.8 percent, driven by fresh categories and newly opened supermarkets, while general merchandise expanded by 8.8 percent, supported by demand for back-to-school and home items.
Gross margin improved to 22 percent, up from 21 percent last year, due to better food retail margins and a higher general merchandise sales mix.
But operating expenses rose 2 percent of sales from 20 percent, due to rising utility rates in the Visayas and higher labor costs.
Earnings before interest, taxes, depreciation and amortization for the first half grew 27 percent to P1.01 billion, reflecting improved profitability. MRSGI also expanded its footprint, opening five new supermarkets across Cebu, Albay, and Sorsogon, bringing its total store count to 76.
