Robinsons Retail’s nine-month profit for 2016 up 11% to P3.3B

Robinsons Retail Hold­ings Inc.’s (RRHI) reported its net income increased by 11.1 percent to P3.3 billion for the first nine month of last year from P2.97 billion a year ago.

Core net earnings (net income excluding inter­est, equitized net earnings from the 40 percent stake in Robinsons Bank and un­realized foreign exchange gains or losses), grew by 23.7 percent to P1.02 bil­lion for the third quar­ter of 2016, bringing core earnings during the nine months of 2016 to P2.77 billion, up 17.1 percent from P2.36 billion a year ago.

RRHI also reported dis­bursing a total of P5.183 billion last year raised from the proceeds of its 2013 ini­tial public offering (IPO) in which it earned up to P26.27 billion.

The use of proceeds mainly went to store network expansion, RRHI reported.

RRHI spent a to­tal of P4.05 billion from the IPO proceeds to ex­pand store network.

Operating income for the third quarter of 2016 ex­panded 17.8 percent which contributed to RRHI’s net income attributable to eq­uity holders of the parent company which increased by 15.3 percent during the period to P1.28 billion from P1.11 billion a year ago.

The use of IPO proceeds for 2016 went also to reno­vation of existing stores val­ued at P800 million, other corporate expenses at P264 million, and repayment of bank loans at P68 mil­lion, the company reported.

Consolidated net sales for the third quarter 2016 expanded by 16.2 per­cent from P21.94 billion to P25.48 billion, brought about by the robust same store sales growth (SSSG), the sales contribution of the new stores as well as the sales from Savers Appli­ances acquired in Septem­ber 2015 and The Gener­ics Pharmacy in May 2016.

Net sales for the nine months of 2016 reached P73.81 billion, an increase of 16.6percent from P63.29 billion in 2015. RIZA LOZADA