LISTED luxury retailer SSI Group Inc. said its net income for the first nine months of the year surged 49 percent, driven by the company’s growing store network and brand portfolio, as well as sustained profit margins.
In a statement, the company said it booked P647 million in net income from January to September, with revenue up 16 percent at P10.04 billion from P8.7 billion a year earlier.
As of end-September, its retail footprint had risen by 24 percent, equivalent to an additional 87 stores or 23,000 square meters of store network than a year ago, the company said.
SSI Group said it is rolling out more stores to take advantage of favorable market conditions, changing consumer patterns and tastes, and availability of prime retail space in new and existing mall developments in the country.
“SSI is entering the fourth quarter on strong footing as we continue to reap the benefits of our store expansion program and of initiatives implemented to enhance profitability,” said Anton Huang, SSI Group president.
“We are optimistic that we will meet this year’s targets and we have seen a strong start to the Christmas shopping season,” he added.
As of September, the company retails 103 international brands through 672 specialty stores covering 118,000 square meters and also operates 66 FamilyMart stores.
On November 7, SSI Group listed its shares on the Philippine Stock Exchange in an initial public offering that raised P7.45 billion. The company offered 993.9 million shares priced at P7.50 apiece.
Some 34 percent of the IPO was bought by cornerstone investors including Bank of the Philippine Islands Asset Management and Trust Group, Government Service Insurance System, and Havenport Asset Management Pte. Ltd., among others.
Established in 1987, SSI first operated Rustan’s Group’s specialty retail brands. Starting with Lacoste, Salvatore Ferragamo and Marks and Spencer, the company rapidly grew and added other retail brands to its portfolio such as Ralph Lauren, DKNY, Kenneth Cole, Burberry and Banana Republic, among others. Later, it expanded to the convenience and department stores landscape through joint ventures with Ayala Land Inc. and Japan’s FamilyMart Co. Ltd. and Itochu Corp. to bring in the FamilyMart and Wellworth chains into the country.