PUREGOLD PRICE CLUB, INC.

Sa , Always Panalo!
Company Presentation

9M 2017 Results and Performance

November 2017
Disclaimer

These presentations and/or other documents have been written and presented by
Puregold Price Club, Inc. (PGOLD). PGOLD is solely responsible for the accuracy
and completeness of the contents of such presentations and/or other documents.
Third parties, other than PGOLD, do not have any responsibility for or control over
the contents of such presentations and/or other documents. No endorsement is
intended or implied notwithstanding the distribution of this presentation and/or other
documents during the analysts and investors calls and meetings of PUREGOLD.
The materials and information in the presentations and other documents are for
informational purposes only, and are not an offer or solicitation for the purchase or
sale of any securities or financial instruments or to provide any investment service
or investment advice.

2
Investment Summary

1. Sustained economic growth of the Philippines

2. Exposure to growing & robust consumer sector
3. Visible growth pipeline in the next 5 years
4. Focused core target market per brand
5. Expansion of new store formats aimed at the broad-C market
6. Expansion to new geographic locations
7. Management focused on the sustainable and Long-Term
growth of the company

3
 Stores roll-out through FY 2016
329
298
248
215
158
102
64
30 41
16 20
1 3
1998 2001 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

First store Expansion Brand recognition Market leadership Rapid expansion via organic Continuing new stores roll-
 Opened in  Launched loyalty  Reader’s Digest  The 2nd largest new Puregold stores roll-out out via organic geographic
Mandaluyong program in 2001; Asia’s “Most hypermarket and and acquisitions expansion and
City, Metro renamed as Trusted Brands” supermarket  2011 - Opened 38 new acquisitions
Manila Tindahan ni Aling retailer in the Puregold stores  Opened 40 new Puregold
Puring in 2004 Philippines in terms  2012 – Opened 31 new and 2 new S&R stores in
 Between 2002 and of net sales Puregold stores; Acquired 2013
2006, launched an Parco supermarkets with 19  Acquired Company E with
average of 3 new New format stores and S&R warehouse 15 stores in 2013
First format stores every year New format introduction - 2010 membership shopping club  NE Bodega 9 stores and
and expanded with 6 stores Budgetlane 8 stores
introduction introduction
operations in North acquisitions in 2015
and South Luzon

Rapid store expansion from 1 to 329 stores in 18 years

4
Sa , Always Panalo!

Update on PGOLD – 9M 2017

 9M 2017 Results and Performance
 Opened 17 new PGOLD stores; 1 S&R Warehouse Club, 8 S&R
New York Style Pizza (QSR) in 9M 2017; closed 3 PGOLD stores
 Operating 352 stores in 9M 2017; with consolidated NSA of more
than 502,000 sqm
9
 Consolidated net sales expanded by 11.2% in 9M 2017; Puregold
stores sales accounted for about 80% of consolidated net sales
 Gross profit grew by 12% in 9M 2017; with gross profit margin
posted 16.5%
 Operating income increased by 7.4% in 9M 2017; with operating
margin at 6.5%
 Consolidated Net income grew by 7% in 9M 2017; consolidated
net profit margin at 4.5% PGOLD only net margin is at 3.7% while
S&R net margin is 7.5%.
6
 Operating Performance – 9M 2017

Format Hypermarket, supermarket, extra Membership shopping

S&R
9 Revenue contribution
Puregold 19.9%
80.1%

Gross profit (PHP million) & Margin (%) 10,641 (15.2%) 3,807 (21.8%)
Total traffic (million) 122 5.0
Average net ticket (PHP) 562 3,534
Net sales growth (%) 8.4% 21.2%
Traffic growth (%) 8.4% 16.8%
Average net ticket growth (%) 1.1% 3.8%
Same Store net sales growth (%)* 4.5% 10.7%
Same Store traffic growth (%)* 1.2% 3.5%
Same Store average net ticket growth (%)* 3.2% 6.9%

7
*Same Stores Growth for 2017 are based on stores opened as of end December 2015.
 Operating Performance – 9M 2017
Breakdown of Stores (per format) Net Selling Area of Stores (in sqm)

Group 2013 2014 2015 2016 9M 17 404,914 426,559 486,722 502,036

Hypermarket 113 121 134 147 159 2,715 3,534
1,720 62,037 67,455
Supermarket 64 83 93 100 99 44,046 50,963
Extra 28 29 28 30 33
9 S&R 8 9 10 12 13 421,970 431,047
360,868 373,876
S&R QSR 2 6 16 23 31
NE & Budgetlane 17 17 17
TOTAL 215 248 298 329 352 2014 2015 2016 9M 17
Puregold S&R only S&R QSR

Traffic and Ave Ticket Size

Puregold Only 2013 2014 2015 2016 9M 17
Traffic (in M) PGOLD S&R
Metro Manila 88 102 104 110 111
2014 133.6 4.9
North Luzon 48 58 64 70 73
2015 143.6 5.5
South Luzon 63 67 74 80 86
2016 155 6.3
Visayas 1 1 6 9 13 9M 17 122 5.0
Mindanao 5 5 7 8 8
TOTAL 205 233 255 277 291 Ave Ticket (in Php) PGOLD S&R
2014 517 3,763
2015 543 3,584
2016 567 3,598
9M 17 562 3,534
8
 Store Portfolio – 9M 2017
Key statistics 1Q 2017 Geographic coverage

Total no. of
 352 BULACAN Caloocan
stores

 159 hypermarkets; North Luzon Valenzuela

99 supermarkets; (87 stores)

Quezon City
9 33 extras Navotas Malabon
No. of stores
 13 S&Rs & 31 S&R
Caloocan
Marikina
per format Metro Manila
QSR
(138 stores) San Juan
 17 NE Bodega & Manila
Mandaluyong RIZAL
Budgetlane Stores Pasig
Visayas Manila Bay
Makati
South Luzon Pateros
Consolidate  about 502,000 (100 stores) (16 stores)
d net selling Pasay Taguig

area square meters

Parañaque
Mindanao
(11 stores)
Las Piñas
Laguna de Bay
Metro Manila 111 5 21 0 1
Muntinlupa
North Luzon 73 2 3 9 0 CAVITE

South Luzon 86 2 5 0 7
Visayas 13 2 1 0 0 LAGUNA
Area with Puregold store coverage
Mindanao 8 2 1 0 0
291 13 31 9 8 9
Financial Performance – 9M 2017
Net sales (in Php billions) Gross profit & Margin (in PHP billions)

112.59 20 18.54 30
97.17 18 16.49 28
84.7 87.56 16 14.8 14.45 26
78.74 12.7 12.9
73.2 14 24
12
22
10
20
8
6 18
4 17.4% 17.4% 17.0% 16.5% 16.4%
16
16.5% 14
2
0 12
2013 2014 2015 2016 9M 16 9M 17 2013 2014 2015 2016 9M 16 9M 17

GP Margin

• Continuing strong revenue growth driven by the 277 Puregold stores and the 12 S&R stores
• Increasing scale of operations resulted to continuing support from suppliers in terms of discount and rebates
• Acquisitions and strong election related spending supported continuing growth in revenues

10
 Financial Performance – 9M 2017
Other Operating Income (in PHP millions) Operating Expenses (in PHP millions)

000
3,266 14.0%
500 16,000 40.0%
12.0%
14,000 13,707 35.0%
000 2,886 2,443 12,225 11,238
2,563 2,272 12,000
10.0% 10,845 9,913 30.0%
500
2,204 10,000
8.0%
9,449 25.0%
000
8,000 20.0%
12.2% 12.6% 12.8%
500 6.0%
6,000 12.9% 12.8% 12.6% 15.0%
000 3.0% 3.0% 3.0% 2.9% 2.9% 2.8% 4.0%
4,000 10.0%
500 2.0%
2,000 5.0%
- 0.0%- 0.0%
2013 2014 2015 2016 9M 16 9M 17 2013 2014 2015 2016 9M 16 9M 17
OPEX % of Sales
Other Income % of Sales

EBITDA & Margin (in Php millions)

12,000 40.0%
10,000
9,919
8,133 8,847 7,093 30.0%
8,000 6,877 6,603
6,000 20.0%
4,000
9.4% 9.6% 9.1% 8.8% 8.4% 8.1% 10.0%
2,000
- 0.0%
2013 2014 2015 2016 9M 16 9M 17
11
EBITDA EBITDA Margin
 Financial Performance – 9M 2017
Operating Income/EBIT and Margins (in PHP millions) Net Income & Margins (in PHP millions)

9,000 8,097 35.0%

6,000 5,526 25.0%
8,000
7,150 5,654 30.0%
5,000 5,002
7,000 6,478 5,263 4,520 3,899 20.0%
6,000
25.0%
4,000 3,959 3,645
5,454 15.0%
5,000 20.0%
3,000
4,000 15.0% 10.0%
3,000
7.5% 7.6% 7.4% 7.2%
2,000
10.0% 5.4% 5.3% 5.1% 4.9% 4.5%
2,000
6.7% 6.5% 4.6%
1,000 5.0%
1,000 5.0%
- 0.0% - 0.0%
2013 2014 2015 2016 9M 16 9M 17 2013 2014 2015 2016 9M 16 9M 17

EBIT EBIT Margin Net Income NI Margin

12
 Financial Performance – Puregold Only
Revenues (in PHP Billions) Gross Profit & Margins (in PHP millions)

16,000 25.0%
90.94 13,831 10,641
79.61
14,000 12,480 9,858 23.0%
70.1 12,000 11,108
69.05 64.67 9,725 21.0%
60.99 10,000
8,000 19.0%
6,000
16.1% 15.7% 17.0%
4,000 15.9% 15.2% 15.2% 15.2%
15.0%
2,000
- 13.0%
2013 2014 2015 2016 9M 16 9M 17 2013 2014 2015 2016 9M 16 9M 17
GP GP Margin

EBITDA and Margin (in PHP millions) Net Profit & Margins (in PHP millions)

5,000 3,967 15.0%

7,000 5,915 6,588 25.0%
3,671
6,000 5,230 4,000
5,000 4,440 4,544 4,770 20.0%
2,864 3,192 2,421
2,584
10.0%
3,000
15.0%
4,000
3,000 7.4% 2,000
10.0%
2,000
7.3% 7.6% 7.2% 7.0% 6.8% 5.0%
1,000
5.0% 4.7% 4.6% 4.6% 4.4% 3.7% 3.7%
1,000
- 0.0%- 0.0%
2013 2014 2015 2016 9M 16 9M 17 2013 2014 2015 2016 9M 16 9M 17
13
EBITDA EBITDA Margin NIAT NIAT Margin
 Financial Performance – S&R Only
Revenues (in PHP Billions) Gross Profit & Margins (in PHP millions)

5,000 4,708 70.0%

21.65 4,500 4,008
4,000 3,652 3,807 60.0%
17.82 17.46
15.77 3,500 2,974 3,046 50.0%
14.07 3,000
12.46
2,500 40.0%
2,000
30.0%
1,500 23.9% 23.2% 22.5% 21.7% 21.7% 21.8%
1,000 20.0%
500
- 10.0%
2013 2014 2015 2016 9M 16 9M 17 2013 2014 2015 2016 9M 16 9M 17
GP GP Margin

EBITDA and Margin (in PHP millions) Net Profit & Margins (in PHP millions)

4,000 3,332 2,500

60.0% 30.0%
2,035
2,904 2,933 2,000 1,803 1,806 25.0%
3,000 2,437 2,059 2,323 40.0%
1,570 1,315 20.0%
1,500 1,224
2,000 12.6% 11.4% 10.1% 15.0%
1,000
20.0%
9.4% 8.7% 7.5% 10.0%
1,000 19.5% 18.4% 16.5% 15.4% 14.6% 500 5.0%
13.3%
- 0.0% - 0.0%
2013 2014 2015 2016 9M 16 9M 17 2013 2014 2015 2016 9M 16 9M 17
14
EBITDA EBITDA Margin NIAT NIAT Margin
 Financial Performance – 9M 2017
Working capital days impacted by S&R importations and
Puregold rapid store expansions and acquisitions

9 2014 2015 2016 9M 17

Trade
Receivables Days 5.3 5.7 6.0 6.0

New Puregold Store roll out and new

Inventory Days 53.2 54.3 56.9 64.2 S&R Stores to be opened in 2016

Trade Payables 35 27.7 20.9 15.8 Similar payments terms to suppliers

to avail of continued discounts
Days
Notes:
1.Average of inventory at the beginning and end of the period / cost of sales x 363 (for full year))
2.Average of trade receivables at the beginning and end of the period / net sales x 363 (for full year)
3.Average of trade payable at the beginning and end of the period / cost of sales x 363 (for full year)

15
 CAPEX Guidance for FY 2017
 CAPEX Budget of Php 2.5 billion in 2017
– Php 1 billion for 25 new Puregold Stores
– Php 1.2 billion for 2 S&R stores
9
– Php 150 million for 10 S&R QSR
– Php 150 million for 25 Lawsons Stores

 To be funded by internally generated cash and short term

untapped bank credit lines if necessary.

16
 Guidance for FY 2017
 Consolidated net sales targeted to grow by 8 to 10% driven by the
following:
– Net sales growth from organic Puregold and S&R stores
9 – Positive SSSG for Puregold (3 to 4%) and S&R (3 to 4%)
– Opening of 25 new Puregold stores; 2 S&R stores
– Full year operations of NE Bodega & Budgetlane Supermarket
 Sustain PGOLD only gross and net profit margins
 Pursue acquisitions and expand into new geographic locations

17
9
Q&A

Thank you!
18