The Market Monitor Minding the Nation's Business
Metro Retail Stores Group, Inc. (MRSGI) achieved P39.62 billion in net sales for 2024, a 3.5 percent increase compared to P38.27 billion in 2023, reflecting positive contributions from the company’s ongoing expansion efforts and a solid 4.9% upswing in the food retail business.
The same-store sales grew modestly by 0.5% compared to 2023, primarily influenced by scaling down low-margin wholesale transactions in 2024.
Blended gross margin was marginally lower at 21.4 percent (compared to 21.6 percent in 2023) mainly due to the company’s strategic decision to unwind aging stock earlier in the year and slightly higher share to business coming from food retail sales.
However, with MRSGI’s continued focus on operational efficiency, the operating expense to sales ratio remained stable at 19.5 percent through effective cost control measures, including the increased adoption of solar panels in key locations.
As a result, MRSGI’s cash earnings (as measured by EBITDA) reached P2.34 billion in 2024, reflecting a 7.8 percent increase from P2.17 billion in 2023.
Due to non-cash charges driven by the Company’s ongoing expansion program, net income for 2024 was flattish at PhP609.42 million compared to the prior year’s P618.02 million.
In 2024, MRSGI made significant strides expanding its footprint to a total of 71 stores, opening eight (8) new branches in the provinces of Samar, Negros, and Cebu. These new stores demonstrated encouraging sales trends from opening, contributing to the 5.8 percent growth in sales from the Visayas region.
To further strengthen its logistics system and support its growing Luzon operations, MRSGI also opened a new Metro Distribution Center in Sta. Rosa, Laguna. This three-hectare facility is equipped with high-efficiency storage, modern security systems, and solar panel-ready infrastructure, providing a strong foundation for future supply chain scalability.
In line with its strategy of format diversification, MRSGI opened Metro Home Improvement and Lifestyle stores in Angeles, Pampanga; Hinigaran, Negros Occidental; and Catbalogan, Samar. This new format expands the Company’s offerings in home improvement and essentials, complementing its existing retail formats.
Meanwhile, MRSGI’s commitment to good governance manifested in its first Golden Arrow award from the Institute of Corporate Directors.
This distinction, based on the ASEAN Corporate Governance Scorecard, acknowledges the Company’s adherence to transparency, accountability, and governance best practices. Furthermore, MRSGI was included in the inaugural Fortune Southeast Asia 500, a testament to its position as one of the region’s largest companies in terms of revenue.