Puregold rides resilient domestic retail spending
Grocery retail chain Puregold Price Club Inc. booked higher earnings in the January to March period, owing to strong revenue growth and higher contributions from its store formats.
In a regulatory filing on Tuesday, the company led by billionaire Lucio Co said its bottom line had climbed by 6.5 percent to P2.64 billion.
Revenues likewise jumped by 10.8 percent to P54.42 billion.
During the quarter, Puregold stores achieved positive same-store sales growth (SSSG) of 5.9 percent on the back of higher basket size. Increased foot traffic at S&R Warehouse clubs also resulted in positive 4 percent SSSG.
As of end-March, the company had 757 stores across the country consisting of 662 Puregold stores, 30 S&R Membership Shopping outlets and 65 S&R New York Style quick service restaurants.
To recall, Puregold did most of the heavy lifting for its parent firm, Cosco Capital Inc., last year.
Puregold contributed 68 percent of Cosco’s full-year bottom line last year due to strong consumer demand.
In 2024, Puregold’s net income swelled by 21.3 percent to a record-high P10.4 billion, supported by growth both in Puregold and S&R stores.
Puregold president Ferdinand Vincent Co had said that they would implement an “aggressive store expansion strategy” this year and prioritize key provincial markets for new branches.
Beverage arm
Apart from supermarkets, the Co family also has interests in liquor through The Keepers Holdings Inc., which contributed 23.5 percent of Cosco’s overall earnings last year.
The Keepers benefited from strong demand for its imported brandy, Alfonso, resulting in its net profit surging by 21.3 percent to P3.54 billion.
Lucio Co, who was listed among Forbes Magazine’s billionaires for the second consecutive year last month, also recently ventured into renewable energy after taking over two hydroelectric power plants.
Cosco completed in September 2024 its acquisition of the 8.66-megawatt Matuno River hydro power plant for P1.02 billion. In March last year, Cosco bought 60 percent of Catuiran Hydropower Corp., operator of an 8-MW facility in Oriental Mindoro province, for P551.88 million. – Meg J. Adonis
