MANILA, Philippines – The net income of convenience store chain 7-Eleven in the Philippines jumped by 46.7 percent in 2013, 7-Eleven’s local licensee Philippine Seven Corp. said.
In a disclosure to the stock exchange, Philippine Seven Corp. said net income grew to P682.6 million at the end of 2013 from P465.2 million in 2012 on the back of sales growth in all its corporate and franchise operated stores.
The firm said total sales grew 29% to P17.2 billion in 2013 from P13.4 billion in 2012.
The sales growth was attributed to the country’s improving economic conditions and the implementation of the new excise tax law on tobacco and liquor.
New food service lines launched throughout the year also boosted the convenience store chain’s sales.
The 2013 earnings translated into earnings per share of P1.49, also an increase of 46.7% compared to 2012’s level of P1.01.
The company said it has allotted P2.3 billion in capital expenditures to open new stores and renovate existing ones this year.
At the end of 2013, a total of 1,009 7-Eleven stores nationwide are being operated by the local franchise holder, up 21.7% from the 829 stores in 2012.
“Management believes the company can sustain momentum moving forward to meet store expansion and profit goals. It has taken steps to protect and expand its leadership in light of increased competition, recognizing that rewards for market share are especially strong in the convenience store sector,” the company said.