Listed luxury brand retailer SSI Group Inc. saw its shares surge week-on-week, following the recent launch of its e-commerce website.
The shares of SSI Group were up 6 centavos or 3.92 percent to finish at P1.59 each on Friday.
This also prompted the stock to improve 21.4-percent week-on-week and landed itself among the previous week’s top gainers.
AAA Equities head of research Christopher Mangun said SSI’s shares climbed after the launch of their new multi-brand retail portal Trunc.ph.
The SSI Group launched their digital platform last November 6, which would complement its 10 existing brand.com sites. The new website would initially carry over 100 of the group’s high-end luxury and casual brands, spanning fashion, beauty and home and living essentials.
“The group believes that our compelling brand portfolio allows us to create a unique set of e-commerce properties that can be further differentiated from other e-commerce offerings through integration with our brick and mortar store network,” SSI President Anthony Huang said in an earlier statement.
Huang also recently disclosed their target to grow the sales contribution of their e-commerce platforms to 15 to 20 percent in the next three years, from the current year-to-date of 5 percent.
The company’s digital segment also posted a 401-percent topline growth in the first nine months of the year amid the implementation of community quarantine measures in the country.
Mangun said the firm’s share price might continue higher as investors cheer on its recent foray in the growing e-commerce industry, though there might be a pullback in the stock price after two weeks of gains.
A strong fourth quarter earnings report, on the other hand, would help bolster sentiment towards the stock, according to Mangun.
The implemented quarantine measures in the first half of the year caused SSI Group to close substantially all its stores from March 17 to May 15.
In turn, the company incurred a P476-million loss as it sales slumped 49 percent year-on-year to P5.02 billion during the period.
Meanwhile, Mangun said that the fourth quarter is usually the strongest quarter for luxury items.
“We may see sales rebound as most have not been spending on these items for most of the year,” he added.
