Wilcon Depot Inc., the Philippines’ leading home improvement and construction supplies retailer, posted a turnaround in the third quarter, with net income rising 16 percent year-on-year to P703 million.
Same-store sales grew 4.8 percent, driven by higher foot traffic and increased transactions, lifting net sales for the quarter to P9.23 billion, up 8.6 percent from a year ago.
“Third quarter performance marked a positive turn for Wilcon, and our same-store sales improvement was mainly driven by increased transaction count from higher footfall,” said Lorraine Belo-Cincochan, President and CEO. “While natural calamities such as typhoons, flooding, and earthquakes disrupted momentum intermittently, demand continued its upward trend. We are optimistic about reversing the first-half earnings decline by year-end.”
During the quarter, Wilcon opened one new depot in North Luzon while closing one smaller Home Essentials branch, keeping total stores at 103. Depot sales, which make up 96 percent of net sales, rose 8.6 percent, with same-store sales up 4.9 percent. Smaller DIW branches posted a 16 percent increase, driven by 8.6 percent same-store sales growth.
Gross profit grew 5.2 percent to P3.46 billion, while operating expenses rose 3.4 percent to P2.65 billion. Other income jumped 44 percent to P129 million, driven by higher delivery fees and rent income.
For the first nine months, Wilcon’s net income totaled P1.866 billion, down 12 percent year-on-year, with same-store sales decline narrowing to 1.7 percent. Net sales for the period reached P26.34 billion, up 2.6 percent, bolstered by newer stores.
Wilcon continues to expand its footprint, improve service delivery, and capture greater market share, positioning itself to sustain growth despite weather and market disruptions.
