HOME improvement retailer AllHome Corp. posted an attributable net income of P312 million in the third quarter, flat from a year ago but 6,140% higher than the P5 million in the previous quarter.
In a statement over the weekend, the Villar-led company said the relaxation of quarantine rules helped it recover in July to September, recording an 11% sales growth to P3.47 billion against last year.
On a quarterly basis, the company’s sales likewise jumped more than double from P1.49 billion in the second quarter.
Year-to-date, AllHome’s attributable net income dropped 21% to P588 million, as sales growth slowed to 2% to P8.33 billion.
In its regulatory filing, the company linked much of its nine-month slowdown to the government’s lockdown to contain the coronavirus pandemic. It temporarily closed all 40 stores in Luzon for two months from mid-March to mid-May.
AllHome’s 46-store network as of end-September is up 70% from the 27 stores it had in the same period last year. It also expanded its net selling area by 43% to 308,530 square meters.
However, its net sales only inched up 2% because of the temporary store closures in the second quarter. Sales growth in existing stores dropped to 0.3% from 32% last year.
“We remain bullish with the home improvement industry for the remaining months of the year. The level of sales has greatly improved in the third quarter and in AllHome’s case, our fourth quarter sales historically are our highest, benefiting from the holiday season,” AllHome Chairman Manuel B. Villar, Jr. said in the statement.
“The improvement in our performance is driven primarily by the opening up of the economy, which resulted to more people visiting and buying at our stores across the country,” he added.
In October, AllHome had opened a new store in Las Piñas City, which raised its store count to 47 after the reporting period. The company said it plans to open two more stores as it heads into the last stretch of 2020, which would bring its total store count to 49 by yearend.
“We have seen marked improvements in our sales on a weekly basis, which gave management the confidence to open four new stores for the year. Our ability to quickly adjust our store expansion program is attributable to our collaboration with the Villar Group in terms of captive customer base, store locations, and execution capability,” AllHome President Benjamarie Therese N. Serrano said.
“Now that we see more people in our stores, our safety policies and guidelines are more important than ever, both for employees and customers. AllHome sees to it that basic health protocols are strictly followed,” AllHome Vice-Chairman Camille A. Villar added.
Shares in the company at the stock exchange closed flat on Friday at P7.75 apiece. — Denise A. Valdez