Puregold shares tumble as Lucio Co disappoints
The pressure to beat earnings estimates is quite strong.
Shares of tycoon Lucio Co?s Puregold Price Club Inc. took a hit Tuesday after the company reported 2017 earnings that fell short of analysts? estimates.
The stock closed 9.14 percent lower at P47.20 after the company disclosed earnings rose by only six percent to P5.84 billion, signaling that the grocery retailer is struggling to accelerate growth amid increased competition.
?PGOLD shares down on weaker than expected ?17 profits and disappointing ?18 revenue growth guidance of only 6-8% versus consensus estimate of 12%,? said April Lee Tan, head of research at COL Financial.
The group closed 2017 with a total of 372 stores nationwide — 309 Puregold stores, 14 S&R membership shopping warehouse, and 32 S&R New York Style QSR, 9 NE Bodega Supermarkets and 8 Budgetlane Supermarkets.