Wilcon Depot's net income dips 9.5% YoY on rising expenses

This is despite a 3.1% growth due to sales from new stores.

Wilcon Depot’s net income declined by 9.5% year-on-year (YoY) to $62.35m (P3.5b) due to rising operating expenses.

In a disclosure, Wilcon said operating expenses rose by 13.5% to $159.3m (P8.94b) due to expansion-related expenses, particularly depreciation and amortisation, outsourced services, trucking and salaries.

This is despite a 3.1% to $616.5m (P34.604b) due to sales from new stores.

It can be noted that in 2022, our comparable sales growth was at an impressive 14.2%, which reflected the robust demand for home improvement products post-mobility restrictions. In 2023, on the other hand, there was an apparent slowdown in home improvement spending not only here but globally as well.

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“It can be noted that in 2022, our comparable sales growth was at an impressive 14.2%, which reflected the robust demand for home improvement products post-mobility restrictions. In 2023, on the other hand, there was an apparent slowdown in home improvement spending not only here but globally as well,” said Wilcon Depot President and CEO Lorraine Belo-Cincochan.

“Despite this slowdown, we continue to pursue our 100-store goal by 2024, a year earlier than initially planned. We believe that we have to be in the best position to serve our market once home improvement spending rekindles,” Belo-Cincochan added.

$1 = PHP56.13