Robinsons Retail core earnings slightly up in 2023

MANILA, Philippines — Core earnings of Gokongwei-owned Robinsons Retail Holdings Inc. (RRHI) increased by 0.6 percent to P5.59 billion in 2023.

Net income attributable to equity holders of the parent company, however, declined by 29.5 percent year-on-year to P4.1 billion.

RRHI attributed the drop mainly to the reversal of foreign exchange gains in 2022 to a loss in 2023 with the appreciation of the peso vis-à-vis the dollar.

The company likewise saw a reversal of its equitized earnings in 2022 to a loss last year with the derecognition of Robinsons Bank’s net income under equitized earnings following the merger with BPI, and losses from startup investments.

Despite the challenging operating environment, RRHI president and CEO Robina Gokongwei-Pe said the strategic initiatives the company has put in place in 2023, such as increasing market coverage and improving store efficiency, proved instrumental in maintaining its growth trajectory.

“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,” Gokongwei-Pe said.

“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 ended 2023 with a total of 2,393 stores consisting of 349 supermarkets, 1,054 drugstores, 50 department stores, 230 DIY stores, 408 convenience stores and 302 specialty stores.

It also has over 2,100 franchised stores of TGP.

Despite inflationary pressures and a high base in 2022 with the economic reopening, RRHI’s net sales jumped by 7.4 percent to P192.1 billion in 2023 on same-store sales growth of 3.9 percent.

The company said supermarkets and drugstores were its main growth drivers during the year.