Metro Retail 2023 net income down 32.6%

Metro Retail Stores Group Inc. (MRSGI) on Wednesday announced a double-digit decline in both its net income and core net income for 2023, as the company reported flat sales while its expenses increased during the period.

In a regulatory filing, MRSGI said its net income fell by 32.6% to P618 million, while its core net income — which excludes one-time gains — slipped by 18.4% to P757.3 million.

Sales increased by 0.4% to P38.3 billion, while same-store sales growth recorded a 0.8% fall on the back of lower wholesale business contribution.

General merchandise rose by 4.7% driven by apparel, electronics, appliances, and travel gear, while food retail fell 1.2% as bulk wholesale business scaled down compared with the previous year. Excluding bulk transactions, food retail sales expanded by 6.2%.

“Even with the challenged outturn, MRSGI reiterates its commitment of offering improved services to customers and better returns to stakeholders underpinned by its strategic initiatives to bolster growth and stability in 2024 and onwards,” president and chief operating officer Manuel Alberto said.

MRSGI’s business is divided into three completely retail formats — supermarkets (Metro Supermarket and Metro Fresh N Easy), department stores (Metro Department Store), and hypermarkets (Super Metro).

The company opened its neighborhood minimart Metro Value Mart in General Trias, Cavite, along with two new Metro Supermarkets in Lapu-Lapu City, Cebu, and Alangalang, Leyte during the year.

Shares in MRSGI were last traded at P1.40 apiece, down by 2 centavos or 1.41% from Tuesday’s finish of P1.42.—RF, GMA Integrated News