Cosco profit rises in 2024

MANILA, Philippines — Cosco Capital Inc., Lucio Co’s retail holding firm, saw earnings rise by a quarter in 2024 amid strong operating performance of major business segments.

Cosco reported a net income of P15.5 billion last year, a 25-percent jump from P12.4 billion in 2023.

Revenues grew by 10.5 percent to P237 billion from P214.5 billion, boosted primarily by the group’s grocery retailing and liquor distribution businesses.

“The group continued to benefit from the economic recovery amidst the prevailing macroeconomic challenges by way of sustained and stronger revenue growth across all its business segments which indicates the recovering consumer demand,” Cosco said.

The grocery retailing businesses composed of Puregold Price Club Inc. and S&R Membership Shopping Club accounted for 68 percent of the group’s total net income in 2024, followed by liquor distribution with 23.5 percent.

Net income of the grocery retail segment surged by 21.3 percent year-on-year to P10.4 billion as revenues expanded by 10.1 percent to P219.17 billion.

The Keepers Holdings Inc., the largest imported liquor distribution in the in the country, also delivered a strong performance last year with a net income of P3.54 billion, up by 21.3 percent year-on-year.

Keepers registered a 13.6-percent growth in revenue to P18.5 billion as a result of a 14-percent jump in volume of cases sold for the period.

Cosco’s commercial real estate segment likewise posted a stellar year, with net income soaring by 20.6 percent to P1.13 billion.

The segment recorded a 5.2-percent increase in rental revenue amounting to P2.05 billion as business operations of its tenants portfolio has improved due to increased level of economic activities as well as full resumption of rental rates based on contracts.

The energy and minerals segment, meanwhile, generated a net income of P177 million last year, while revenues reached P492 million.

For the specialty retailing business segment, Office Warehouse Inc.’s revenues slipped by 3.4 percent to P2.08 billion, resulting in a 16.8-percent drop in net income to P65 million.