Property

COVID-19 cuts Robinsons Retail’s second quarter profit

Robinsons Retail Holdings Inc. reported a 33.2% drop in second quarter earnings to P719 million as sales dropped amid the stay-at-home order aimed at preventing the spread of the coronavirus.

This brought RRHI’s first half profit to P1.64 billion, 4.1% lower than the same period last year.

Consolidated net sales decreased by 12.4% to P34.9 billion in April to June, bringing first year-to-date total to P75 billion or a 2.9% drop from the year ago.

Sales were impacted by the temporary closure of the stores considered non- essential during the strict lockdown which started on March 17.

RRHI said majority of its stores across all formats resumed operations only last May 16 after quarantine measures have been relaxed in many areas. Operating hours, however, have been shortened and foot traffic is down.

Same-store sales growth of the supermarket and drugstore segment eased in the second quarter from high double-digit SSSG in the first quarter as stores were closed for six weeks.

While convenience stores are considered essential, around 30% of the stores were temporarily closed due to lack of manpower, absence of public transportation and closure of offices in buildings where the stores are located.

The CVS segment was also affected by the imposition of curfew and liquor bans.

Excluding the franchised stores of The Generics Pharmacy, RRHI l had a total retail network of 1,890 stores comprising of 262 supermarkets, 49 department stores, 222 do- it-yourself stores, 512 convenience stores, 520.drugstores and 325 specialty stores.

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