PUREGOLD CORE NET INCOME GREW 16% TO P 6.75 BILLION IN 2019
Puregold Price Club, Inc. (PGOLD) has reported a consolidated core net income of Php 6.75 billion in 2019 which represents a 16% growth compared to Php 5.82 billion in the same period in 2018.
Consolidated net margin for the period is at 4.4%., according to the company disclosure to the Philippine Stock Exchange today.
Puregold stores registered stronger than expected same store sales growth (SSSG) of 4.6% in 2019 while S&R registered a SSSG of 8.3% during the same period. SSSG was driven by higher consumer spending fueled both by minimum wage inflation in 2018 and easing inflation in 2019.
Puregold consolidated net sales increased by 9.5% to Php 154.49 billion in 2019. 77% of the revenues is attributed from the Puregold Stores network and 23% coming from S&R Membership warehouse clubs and S&R New York Style Pizza stores. Income from Operations grew to Php 11.38 billion in 2019, up by 11.3% compared to Php 10.23 billion during the same period last year.
The company plans to offer online grocery shopping to 100 Puregold stores from the current 40 stores in its Puregold Mobile App by end of 2020 as it expects changes in consumer shopping behavior due to the COVID-19 situation. Puregold will also continue its expansion program by opening 25 new Puregold stores and has opened 2 S&R membership shopping warehouse in 2020. This will provide our shoppers better convenience especially now that travel is limited due to quarantine.
As of end December 2019, Puregold group has a total of 436 stores nationwide. These include 380 Puregold stores, 18 S&R membership shopping warehouse, and 38 S&R New York Style QSR with a total net selling area of around 565,000 sqm.