WILCON Depot, Inc. reported a 56.4% increase in net profit to P1.01 billion in the second quarter as sales increased amid eased pandemic restrictions.
“The jump is attributable to higher volume of business and to the gross profit margin expansion partly offset by the increase in operating expenses,” the company said in a press release on Thursday.
The company added that the fewer pandemic-related disruptions during the quarter led to higher sales.
Wilcon’s net sales in the second quarter jumped by 22.8% to P8.29 billion from the P6.75 billion a year ago because its continued store network expansion.
“Two new depots were added during the quarter, both in Luzon, bringing to 76 the total number of branches at the close of the period,” the company added.
In the first six months, the company opened a new depot in Antipolo City in March, one in Gapan, Nueva Ecija in April, and a depot in Lemery, Batangas in May.
“We are on track to meet our expansion target of eight new depots for the year. We will be opening four more depots this second half,” Wilcon President and Chief Executive Officer Lorraine Belo-Cincochan said.
Meanwhile, the company’s first-half net income reached P1.86 billion, a 48.8% increase from last year’s P1.25 billion, which the company attributed to higher net sales.
“Net sales for the [first] half totaled P15.942 billion, up 18.7% or P2.516 billion year on year due mainly to the growth in comparable sales of 11.8% and the contribution of new stores,” the company said.
“With the improving performance of stores in areas that were more frequently disrupted by mobility restrictions last year, we expect our net sales to grow by at least high teens and our comparable sales by high-single-digit to low teens for the full year 2022,” Ms. Belo-Cincochan added.
On the stock market on Thursday, Wilcon shares increased by P1.65 or 6.95% to P25.40 apiece. — Justine Irish D. Tabile