Robinsons Philippines profit surges

1 min readUpdated Jun 4, 2025May 23, 20157:00 AM

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Robinsons Retail Holdings says its net income rose 39.1 per cent to P781 million (US$17.5 million) in the first quarter of 2015.

Robinsons Philippines runs a raft of retail businesses split into six operating divisions: Robinsons Supermarket, Robinsons Easymart and Robinsons Selections; department stores; DIY stores under the Handyman Do it Best, True Value and the new big box hardware brand AM Builders’ Depot; Ministop convenience stores; South Star Drug and Manson Drug stores; and specialty stores selling appliances and consumer electronics.

It has 1356 stores – 211 more than at the end of March 2014.

In its quarterly trading disclosure the company says its core net earnings grew by 10.1 per cent to P584 million ($13.1 million) in the three months to March 31.

“I am pleased with our results of the first quarter of 2015, particularly our same store sales growth performance. Nonetheless, we remain vigilant as competition continues to intensify on all fronts,” RRHI president Robina Gokongwei-Pe said in the statement.

“We are optimistic with the recent opening of True Home, a segment of True Value focusing on furnishings at Robinsons Magnolia, and also excited about the scheduled launch of our first Costa Coffee in the middle of this year as well as the opening of our second Robinsons Selections, the premium format of our supermarket segment, at the Fort.”

Combined net sales grew 13.1 per cent to P19.72 billion ($442.8 million), largely due to contributions from new stores and a solid same-stores growth of 3.4 per cent.

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What this means

Robinsons Retail's substantial first-quarter profit and aggressive store expansion, adding 211 locations, demonstrates successful multi-format market penetration in the Philippines. This move, echoing Panpuri's multi-store expansion in Asia, positions them strongly against fragmented local competition, particularly as they diversify into premium segments like True Home and Costa Coffee. The immediate challenge is sustaining same-store sales growth amidst intensifying competition, as highlighted by President Gokongwei-Pe. This strategy pressures pure-play retailers and existing coffee chains in the region. We anticipate further aggressive segment-specific store rollouts over the next 12 months, with profitability hinging on customer adoption of these newer formats.

Aiko Tanaka

Questions & Answers

What contributed most to the increase in Robinsons Retail Holdings' net sales?

Net sales grew significantly due to contributions from newly opened stores and a strong same-store sales growth of 3.4 per cent. This combined effect helped achieve a 13.1 per cent rise in overall sales.

How many new stores did Robinsons Retail Holdings open over the last year?

Robinsons Retail Holdings opened 211 new stores in the period between the end of March 2014 and the end of March 2015. This brought their total store count to 1356.

What new retail ventures is Robinsons Philippines planning for the near future?

The company is launching its first Costa Coffee branch in the middle of this year and opening a second Robinsons Selections premium supermarket at the Fort. They also recently opened True Home, a furnishings segment of True Value.

What is the difference between net income and core net earnings for Robinsons Retail Holdings?

Net income, which rose 39.1 per cent to P781 million, is the overall profit figure. Core net earnings, which grew 10.1 per cent to P584 million, represents a different calculation of profitability for the company.

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