Robinsons Retail’s Unaudited 2015 Net Income Up 21.9%
Quezon City—(PHStocks)—Robinsons Retail Holdings Inc. (PSE: RRHI) posted a 21.9% increase in net income attributable to equity holders of the parent company to PhP4.34 billion from PhP3.56 billion for the full year ended 2015 arising from higher income from operations and other income.
For the fourth quarter, consolidated net income attributable to equity holders of the parent company grew by 12.7% to PhP1.37 billion from PhP1.22 billion last year.
For the full year ended December 2015, core net earnings which excludes interest income on bond investments, equitized net earnings from its 40% stake in Robinsons Bank and forex gains or losses, increased by 5.8% to PhP3.63 billion from PhP3.43 billion last year.
Consolidated net sales hit PhP90.88 billion in 2015, expanding by 13% from PhP80.4 billion in 2014, owing to the sales contribution of 179 new stores in 2015, the full year sales contribution from 263 stores that we opened in 2014 and the strong same store sales growth (SSSG) of 4.1%, exceeding the 2-3% consolidated SSSG target for the year.
The strong 4.1% SSSG in 2015 is due to the robust SSSG for all formats; Supermarkets at 3.3%, Department Stores at 5.5%, DIY at 5%, Convenience Stores at 5.4%, Drugstores at 3.3%, and Specialty Stores at 4.9%.
As of end-December 2015, Robinsons Retail operated a total of 1,506 stores (+179 stores from the previous year) and expanded its total gross floor area by 9.7% YoY.
Blended gross profit increased by 13.3% to PhP19.75 billion in 2015 from PhP17.43 billion in 2014. Operating income improved by 5.4% to PhP4.73 billion while EBITDA (earnings before interest, taxes, depreciation, and amortization) grew by 10.6% to PhP6.38 billion.
Robinsons Retail’s balance sheet remained solid with cash, cash equivalents and liquid marketable securities of PhP29.28 billion as of end-December 2015 versus borrowings of only PhP2.85 billion. The company spent a total of PhP4.24 billion in capital expenditures for the year ended 2015, including the acquisition of the 25 stores of Savers Appliances. Cash conversion cycle was kept at negative level of 14 days.
“I am heartened by the strong SSSG performance of almost all our retail formats in 2015, despite the intensifying competition. We have also gotten into a good start this 2016 with solid SSSG for the first two months of the year as we benefited from increased consumer spending from a still robust domestic economy. We will continue with our footprint expansion, with focus on areas outside Metro Manila. Looking for potential mergers and acquisitions continues to be part of our strategy in growing the business,” said Robina Gokongwei-Pe, president and chief operating officer of Robinsons Retail Holdings.
