Robinsons Retail Holdings Inc. (RRHI) said Thursday its net income attributable to the parent company fell 29.5 percent in 2023 to P4.12 billion from P5.85 billion in 2022.
RRHI attributed the decline to the reversal of foreign exchange gains in 2022 to a loss in 2023 with the appreciation of the peso against the US dollar, the reversal of the equitized earnings to a loss with the derecognition of Robinsons Bank’s net income under equitized earnings following the merger with Bank of the Philippine Islands (BPI) and losses from start-up investments.
It said minus one-off items, its core net earnings registered a growth of 0.6-percent year-on-year to P5.6 billion.
RRHI said its investment in BPI yielded a net positive carry in 2023, better than expected as borrowings related to the purchase of the bank’s shares were reduced faster than planned.
Consolidated net sales rose 7.4 percent in 2023 to P192.1 billion from P178.8 billion with supermarkets and drugstores as main growth drivers, despite inflationary pressures and a high base in 2022 with the economic reopening.
Operating income grew 2.3 percent year-on-year to P8.9 billion.
“The strategic initiatives we put in place in 2023 such as increasing market coverage and improving store efficiency proved instrumental in maintaining our growth trajectory despite the challenging operating environment,” RRHI president and chief executive officer Robina Gokongwei-Pe said.
“As we move forward in 2024, we are optimistic that we can capture the expected recovery in consumer confidence, particularly as inflation pressures begin to subside. We remain committed to expanding our business prudently, balancing the needs of our retail customers with the interests of our diverse stakeholders,” she said.
RRHI’s core retail operations have six business segments including supermarkets; department stores; DIY stores; convenience stores; drug stores; and specialty stores.
It was operating 2,393 stores consisting of 349 supermarkets, 1,054 drugstores, 50 department stores, 230 DIY stores, 408 convenience stores and 302 specialty stores as of end-December 2023.
It also has over 2,100 franchised stores of TGP.