the Outsider - PSE Points to Ponder

  Philippine Seven grew faster in the first half of 2026, but Puregold’s wider margins, larger profit and stronger balance sheet showed the value of scale Philippine Seven Corp. is putting a 7-Eleven on seemingly every available corner. Puregold Price Club Inc. is doing something less visible but more consequential for shareholders: turning a much larger sales base into substantially more profit. The two retailers' first-half results offer a study in contrasting growth models. Philippine Seven, the local operator of 7-Eleven stores, delivered faster revenue growth as it continued an aggressive nationwide expansion. Puregold, whose businesses include supermarkets, smaller neighborhood stores, and S&R Membership Shopping warehouses, produced stronger margins, higher earnings, and a more resilient balance sheet. For the six months ended June 30, 2026, Puregold posted ₱121.48 billion in net sales , up 10.6% from a year earlier. Philippine Seven reported ₱53.48 billion in revenue , ...

  The 7-Eleven operator is opening stores and ringing up more purchases, but rising costs, lease payments and heavy investment are limiting profit and draining cash MANILA, Philippines : Philippine Seven Corp. is selling more goods through more stores, but a smaller share of those additional sales is reaching the bottom line. The Philippine operator of 7-Eleven convenience stores reported ₱54.15 billion in total income for the first half of 2026, including ₱53.48 billion in revenue from contracts with customers. Yet the company earned net income of only ₱1.84 billion, underscoring the rising costs of its nationwide expansion. Revenue from contracts with customers rose 14.9% from a year earlier, while operating income increased a more modest 7.9% and net income gained just 3.8%. The divergence was even clearer in the second quarter: Operating revenue climbed 15.4%, but operating income rose 7.6%, and net income increased only 3.3%. The results point to a business that is succeeding ...