Higher traffic lifts Puregold earnings

Puregold Price Club, Inc., the listed grocery chain controlled by businessman Lucio Co., rode strong customer demand to a 5.6 percent jump in consolidated net income to P7.3 billion for the first nine months of the year, up from P6.9 billion a year ago.

In a stock exchange report on Monday, the grocery giant said its revenues grew 10.6 percent to P168 billion, fueled by higher basket sizes and increased foot traffic.

Puregold Stores saw 4.8 percent same store sales growth, while S&R Warehouse Clubs recorded 5.4 percent SSSG, also driven by stronger traffic.

Gross profit climbed 13.5 percent to P31.4 billion at an 18.7 percent margin, while gross operating income rose 13.6 percent to P34.2 billion. Operating expenses, on the other hand, increased 16.5 percent to P22.96 billion.

By September, Puregold operated 772 stores nationwide, including 673 Puregold outlets, 31 S&R Membership Shopping Warehouses, and 68 S&R New York Style quick service restaurants.