AllHome Corp., the listed retail arm of the Villar Group, on Thursday said its net income last year rose 46 percent to P1.44 billion from the previous year’s P988 million due to the continuous reopening of the Philippine economy.
Revenues rose 15 percent to P14.32 billion from last year’s P12.41 billion, the company said.
“AllHome’s performance in 2021 is a full display of our core advantages as we navigated through the many challenges of the pandemic. As this global challenge draws to a close, we view 2022 with optimism. All signs point to an increased pace of economic recovery throughout the country, and this bodes well for AllHome”, company chairman Manuel B. Villar Jr. said.
The company said it is employing a number of initiatives to improve gross profit margins, which increased to 35 percent of revenues last year, from 31.6 percent in 2020.
Its initiatives include strategic pricing, conversion of select concession merchandise to outright and increasing in-house brands sales contribution all served to contribute to the marked improvement.
AllHome said it deployed operational efficiency programs to optimize store formats to allow additional store warehousing and dedicated fulfillment and logistics areas for e-commerce fulfillment as many of its customers prefer shopping online.
As of December 2021, e-commerce revenue for AllHome accounted for 11 percent of total revenue.
“2021 saw the creation of our new generation AllHome stores, which carry a smaller footprint and require less capex [capital expenditure] to fit out,” AllHome Vice Chairman Camille Villar said.
“With the increasing adoption of online shopping across all consumer channels, AllHome will continue to leverage innovative customer-facing measures and automated digital marketing campaigns to strengthen our omni-channel presence and grow our consumer base.”
AllHome said its operational performance last year reflects the country’s steady march towards recovery. Marked improvements were observed in the company’s same store sales growth (SSSG), which rose to 8.1 percent last year from 3.5 percent in the previous year.
Transaction count for AllHome also rose to 3.89 million, an 8 percent increase from the previous 3.6 million.
“The results are clear, AllHome’s double digit growth in revenue and net income, compared to both 2020 and pre-pandemic 2019 are indicators of our strength and our continued commitment to both improve and build on the AllHome value proposition as well as deliver value to our stakeholders,” said Benjamarie Therese Serrano, the company’s president.
“Our 2021 SSSG and increasing transaction counts for the same period are reflective of customers returning to stores, and we are confident in the strategies we have in place to push towards our 100-store milestone in 2026.”