MANILA – Home improvement and construction supply retailer, Wilcon Depot Inc., expects earnings to recover in the second half of the year as it gears up for continued expansion with the easing of lockdowns amid the pandemic.
Rosemarie Bosch Ong, Wilcon Depot senior executive vice president and chief operating officer, said the company opened four stores this year, and two more before the year ends.
“At this point, we are still expanding, we are still providing employment,” she said in a virtual press briefing Monday.
Ong said they are confident about earnings recovery in the second half of 2020, barring any major disruption amid the pandemic, as their stores are in full operations.
Wilcon now has 61 stores nationwide.
“We have four new stores that are already contributing and some of the stores that we opened last year are already ramping up also so that will be a big plus factor,” she added.
The company booked a 64.6-percent decline in net income in the first semester of the year, as the enhanced community quarantine imposed on the whole of Luzon starting March 17, 2020 required it to close all 44 of its Luzon stores.
Sales from its Luzon stores accounted for 84 percent of Wilcon’s total sales pre-ECQ.
Wilcon was allowed to re-open stores only on May 16, 2020.
Wilcon president and chief executive officer Lorraine Belo-Cincochan attributed the surge in the demand for some of their products to home improvements projects during stay-at-home orders.
“We use aircon, electric fan, everything, more often then, the tendency is there will be more wear and tear… Your home is now your restaurant, it’s your school, everything so you have to buy extra furniture, extra appliances because everybody is living in the house, because everybody is doing everything there,” she said.
In support of an expanding store network, Belo-Cincochan said the company has completed the construction of additional warehouse buildings in its existing main distribution center, and will open a new regional hub in the south of Metro Manila by the end of the year.
“The regional hub is meant to improve our fulfillment and distribution processes to our growing number of stores and customer base in the region. We have also grown our in-house and exclusive product offerings. We not only introduced new brands and added to our categories but also expanded product lines under existing brands,” she said during the company’s stockholders’ meeting. (PNA)
