Puregold Price Club Inc., the supermarket group owned by Lucio Co, reported a 12 percent increase in earnings, reaching P2.4 billion during the first quarter of the year, driven by strong sales performance.
Net sales for the quarter surged by 15 percent year-on-year, totaling P44.4 billion, as consumers maintained robust spending despite ongoing inflationary pressures.
Puregold Stores, one of the key contributors to the group’s revenue, generated P30 billion in sales during the quarter. Additionally, S&R Warehouses experienced significant growth, with sales reaching P14.4 billion, marking a 12 percent and 23 percent growth, respectively.
While Puregold witnessed impressive top-line growth, it also faced challenges in the form of compressed gross profit margins and higher operating expenses. These factors are a result of the company’s commitment to an aggressive expansion strategy.
To further its market reach, Puregold has embarked on a multi-year initiative, implementing promotions and joint business plans with its suppliers.
During the first quarter, the retailer successfully opened five new Puregold stores, along with one S&R Membership Shopping Warehouse and one S&R New York Style QSR (Quick-Service Restaurant).
As of March 2023, the group boasts a total of 531 stores nationwide, consisting of 456 Puregold stores, 23 S&R Membership Shopping Warehouses, and 52 S&R New York Style QSRs.