Philippine Seven Corporation (PSC), the exclusive licensor of 7-Eleven in the Philippines, announced plans to spend PHP 3.5 billion (USD 69 million) primarily to roll out new stores and re-model existing outlets as part of the company’s long-term development plans.
PSC announced that it would open 350 new stores in 2019 to bring the total to around 3,000 outlets. The average cost to build one store ranges from PHP 5 (USD 97,952) million to PHP 6 million (USD 117,543). PSC also mentioned that it plans to refurbish around 100 existing 7-Eleven stores in the country.
In 2018, the company recorded a 16.2% net income increase driven by an 8.8% growth in same-store sales, the highest level in five years. The country’s Tax Reform for Acceleration and Inclusion Law (TRAIN) was the biggest driver for sales growth in 2018. The TRAIN law lowered personal income taxes and thus increased the disposable incomes and spending power of Filipino taxpayers. PSC announced that it will be continue strengthening it store network and expand into new markets in the Philippines.