RRHI: Store Expansion And Steady Margins Will Support Stronger Future Returns

Analysts have modestly raised their price target for Robinsons Retail Holdings to PHP 59.54 from PHP 59.54, citing slightly lower discount rate assumptions and a steady outlook on long term revenue growth, margins, and valuation multiples.

What's in the News

• Maintained full year 2025 earnings guidance, targeting blended same store sales growth of around 4% (corporate guidance)
• Planning a major expansion of 130 to 170 net new stores, primarily in Food and Drugstore formats, with most openings scheduled for the current quarter (business expansion)
• Stockholders approved amendments to Article SEVENTH of the Articles of Incorporation at a special meeting held on September 16, 2025, with 71.35% of issued and outstanding common shares voting in favor (stockholder meeting)
• Held a board meeting on September 16, 2025, aligned with the special stockholders’ meeting to address governance and corporate actions (board meeting)

Valuation Changes

• Fair Value Estimate is unchanged at around ₱59.54 per share, reflecting a steady assessment of intrinsic value.
• The Discount Rate has fallen slightly from about 15.17% to 15.09%, indicating a marginally lower perceived risk profile.
• Revenue Growth is effectively unchanged at roughly 5.30%, suggesting a stable long term growth outlook.
• The Net Profit Margin is essentially flat at around 2.93%, pointing to stable profitability expectations.
• The Future P/E has edged down slightly from about 11.37x to 11.35x, implying a marginally lower valuation multiple on forward earnings.