SSI Group buys into travel retail business

Specialty brand retailer SSI Group Inc. has entered the travel retail business by acquiring a 50-percent stake in Landmark Management Services Ltd.

 

The equity was bought from shareholders Regent Asia Group Ltd., and Prime (Duty Free Distributors) Ltd., which will hold the remaining 50 percent.

 

“We believe that with SSI’s retailing experience and Landmark’s deep understanding of the unique shopping requirements of travelers, we can expand our market to cover tourists and business travelers,” SSI President Anthony T. Huang said on Thursday

 

Landmark Management holds supply and management agreements with travel retail stores in the Philippines through its wholly-owned subsidiary SKL International Ltd.

 

In a separate disclosure on the Philippine Stock Exchange, the SSI Group said it posted a net income of P318 million in the second quarter, up 18.95 percent from a year earlier.

 

Net sales in April to June reached P3.8 billion from P3.2, while operating expenses rose to P1.5 billion from P1.3 billion.

 

The second quarter results supported the company's earnings for the first semester.

 

“The first half 2015 net income, adjusted for the start-up losses of the FamilyMart and Wellworth joint ventures, was at P692 million, a 22-percent year-on-year increase,” the company said.

 

Net sales for the six-month period rose by 18.5 percent to P7.9 billion.

 

Expenses for the period grew by 14 percent to P3.3 billion as a result of the higher selling, distribution, and personnel distribution expenses. – Jon Viktor Cabuenas/VS, GMA News