Puregold net income down to P1.65B in Q3

Puregold Price Club Inc. reported a decline in its net income for the third quarter of the year, following the increase in operating expenses during the three-month period.

In a regulatory filing on Wednesday, Puregold reported a net income of P1.652 billion in the July to September period versus P1.725 billion the same quarter last year.

Net sales for the quarter rose to P39.173 billion from P38.749 billion the previous year, while the cost of sales climbed to P32.708 billion from P32.271 billion.

The latest figures brought the year-to-date bottom line to P5.050 billion from P4.553 billion, after net sales rose to P121.138 billion while the cost of sales grew to P101.293 billion.

"This was principally driven by the continuous organic expansion of the group's grocery retail outlets on the back of a sustained strong consumer demand," the company said.

"This has been augmented by combined management strategies and programs to boost revenue contributions from both the base stores as well as new stores," it added.

However, other operating income for the nine-month period fell to P2.298 billion from P2.307 billion in 2019, as the company reported a decline in rent collections.

"This is attributable to decrease in rent income due to considerations given to tenants affected by the pandemic. This is partially offset by the increase in concess income and membership income driven mainly by new stores opened during the period and full operation of new stores opened in 2019," the company said.

Puregold ended 2019 with a total of 229 hypermarkets, 102 supermarkets, 28 extras, 19 minimarts, 18 S&R warehouse clubs, and 38 S&R Quick Service Restaurants, for a total of 434 stores all over the country.—AOL, GMA News