Philippine Seven Corporation (PSC), licensee of global convenience store chain, 7-Eleven, held its annual stockholders meeting this July 24, 2012, two weeks after the soft opening of their first stores in Cebu.
The country’s leading c-store posted a 29% income growth in 2011 despite setbacks posed by wetter weather and a weaker economy. This was coming from a 78% growth seen last 2010.
In 2011, PSC share prices closed at PhP25.90. Last April 2012, share prices peaked at PhP44 as the company celebrates its 30th year.
Though it was a challenging year for the company, PSC pushed forward with its aggressive expansion plans. As a result, systemwide sales exceeded P10B for the first time and grew by 17% in 2011 to P10.7B. Net income grew from PhP277M in 2010 to PhP356M.
“We believe that our efforts enabled us to outperform sluggish GDP growth of 3.6%, cooler temperatures and more rainfall in 2011, and that digging deep as we did prepares us for better years ahead,” said of PSC President and CEO, Jose Victor Paterno.
Part of PSC’s strategy for 2011 was to accelerate the rollout of existing product lines as well as innovate and develop new product lines. Among these new product innovations are hardboiled eggs, balut, green mango with bagoong and fresh salads.
Regulatory approval was also secured to sell over-the-counter pharmaceuticals in over 100 stores.
7-Eleven also debuted the new look of their stores to enhance the shopping experience of their customers. Wider spaces, warm tones and a modern yet friendly atmosphere encourage customers to explore new offerings as the stores evolve to combine convenience with ambience. The new layout, which maximizes both shelf space and seating capacity, is slated to be rolled out in the coming years.
The company expanded its warehouse facilities and rolled out its custom-built POS system as PSC continued to invest in their infrastructure to further support store operations and marketing efforts.
This year, PSC set its sights on Cebu. According to Paterno, “We believe that no
In addition, PSC aggressively opened stores in better locations where others scaled back on expansion. PSC’s hold in Luzon was strengthened by expanding into Bicol in the south and La Union in the north. The company ended year 2011 with 689 stores, 147 of which were opened in the same year.
w is the right time, given the maturity of the industry and the growth of the economy.” On July 11, 2012, 7-Eleven Day the world over, PSC opened its first two stores in Cebu. A total of 40 stores are slated to open in the city by the end of the year.