Cosco profit up 7% to P7.5 B

MANILA, Philippines - Cosco Capital Inc., the retail holding firm of tycoon Lucio Co, posted a seven-percent jump in consolidated net income to P7.5 billion last year , driven by robust sales of its grocery retail segment Puregold.

Net income attributable to equity holders of the parent company grew 5.4 percent year-on-year to P4.73 billion, while consolidated revenues went up 10.7 percent to P129.2 billion.

Puregold Price Club Inc. and S&R Membership Shopping Club contributed 59 percent of the firm’s total profits, followed by the commercial real estate segment with 22 percent and the liquor distribution with 16 percent.

The group’s specialty retailing segment, composed of Liquigaz Philippines Corp. and Office Warehouse, accounted for seven percent of its net profit.

“Our strength in retailing shows through the continued growth in our grocery, liquor, and office supplies and technology products retail businesses. Despite challenges in the LPG space, we believe that 2017 would be a better year for Liquigaz.

“Cosco Capital is continuously investing in our subsidiaries to support its growth momentum, in addition to actively seeking for new strategic business opportunities in the retailing space,” Cosco president Leonardo Dayao said.

The group’s grocery retail segment saw its consolidated revenues increase 15.9 percent to P112.6 billion while consolidated net income improved by 10.5 percent to P5.53 billion.