SSI Group Inc., the country’s largest specialty store retailer owned by the Tantoco family, said net income in the third quarter of the year fell 38 percent to P115.3 million from P187 million year-on-year as expense grew faster than revenues.
SSI said in a filing with the Philippine Stock Exchange third-quarter revenues amounted to P3.87 billion, up 15 percent from P3.37 billion on year.
Operating expenses rose 17 percent to P3.53 billion from P3.01 billion in the same period in 2014.
Despite the lower third quarter net income, SSI’s net profit for the first nine months of the year was still up 4 percent at P701 million from P673.5 million in 2014.
SSI Group’s revenues stood at P11.8 billion during the first nine months of the year, up 17 percent on year, driven by new stores added to the group’s network.
SSI Group as of end-September operated 781 specialty stores covering over 143,000 square meters.
It added 58 new stores and 9,857 square meters this year.
“Despite a more competitive environment in the third quarter, the group was able to post strong sales growth during the period,” SSI Group president Anton Huang said.
