LIGHT, NIMBLE MERRYMART BARRELS THROUGH VIRUS-HIT Q1 WITH PROFIT UP 50.5%

Newly listed grocery chain operator Merrymart Consumer Corp. grew its net profit in the first quarter by 50.5 percent yearonyear to P8.35 million with the rollout of new stores offering essential goods in the ongoing new coronavirus disease (COVID19) pandemic.

Consolidated revenues in the first three months rose by 39.79 percent yearonyear to P794.91 million.

“This behavioraltering COVID19 pandemic has made the Merrymart team realize the benefit of being light and nimble in dealing with this once in a generation global pandemic. Being a new player in the industry, it will not have to face the major issue of reconfiguring a big complex structure because Merrymart has actually just started to build its foundation, and has the flexibility to mold its expansion master plan according to the new normal that we all continue to decipher as we move forward,” Merrymart chair Edgar Sia II said at a press statement on Wednesday.

Merrymart opened four new branches during the first quarter of 2020 located in Calamba, Ayala Malls Manila Bay, Mayombo (Dagupan City) and Sorsogon, bringing its store network to seven so far.

The company expects to open 18 additional branches before the end of the year, bringing its total targeted branch network to 25. The vision is to expand to 1,200 branches nationwide that will provide P120 billion in annual systemwide sales revenues by 2030.

This third quarter, Merrymart aims to launch its online delivery platform, which is expected to carry the “most relevant” branded household essentials.

Meanwhile, Merrymart’s sister company, Doubledragon Properties Corp., saw a 41.6percent yearonyear drop in first quarter attributable net profit to P536.69 million due mostly to oneoff valuation gains that boosted the comparative income last year alongside slower hotel revenues.

Excluding the oneoff fair value gains in the first quarter of 2019 stemming from the completion of Doubledragon Center East, Doubledragon’s core net profit rose by 133 percent yearonyear to P427.94 million in the first quarter.

Including earnings attributable to minority interest, Doubledragon’s first quarter net profit amounted to P744.74 million compared to P1.2 billion in the previous year. Threemonth revenues stood at P1.91 billion compared to P2.66 billion in the previous year.

Doubledragon’s recurring revenues grew by 20.51 percent yearonyear to P927.91 million at endmarch.