Wilcon Depot Inc. registered a net income of â‚±1.835 billion in 2018, up 32 percent from P1.385 billion in 2017 on double-digit growth in revenues due to aggressive store expansion.
Wilcon said in a disclosure to the stock exchange net sales grew faster at 18.6 percent in 2018 to â‚±21.041 billion from the comparable growth of eight percent in 2017.
Gross profit margin improved to 31.4 percent from 29.7 percent in 2017 while cost of sales climbed 15.7 percent to P14.43 billion.
“Wilcon will continue with its store network expansion with a planned eight new depots to be opened in 2019. We are also looking to expand existing stores with potential for higher growth,” said Wilcon president and chief executive Lorraine Belo-Cincochan.
“We are set to open an additional distribution center this 2019 and expanding our main distribution center to accommodate the increased volume of business. We continue to look for probable areas for expansion beyond our committed 29 new depots when we went public as we remain bullish on the growth potential of the economy in general and the consequent expansion of our target market,” she added.
Net sales in the fourth quarter reached â‚±5.682 billion, up 20 percent year-on-year.
The listed home improvement and construction supply company opened 11 new stores in 2018 to end the year with 51 outltets across the country.
Depots contributed the bulk or 96 percent of total net sales with a same store sales growth of 9.5 percent for the year.
The smaller format Home Essentials’ 2018 same store sales growth stood at 9.7 percent, contributing 2.9 percent to total net sales, while sales to large projects accounted for the balance.
The company earlier reported plans to open eight stores this year.
It plans to sustain the double-digit growth in profits and revenues for 2019.
Share price Wilcon on Thursday hit a new 52-week high of P15.24 before closing at P15.02, up 0.8 percent from the previous day.