SM RETAIL, INC. plans to open no less than 200 Alfamart branches in 2026 because it boosts its footprint in communities and deepens its reach amongst value-seeking shoppers.
SM Retail President Jonathan H. Ng said the corporate is preparing for an additional 12 months of expansion as demand for convenience formats stays firm nationwide.
“For Alfamart, we’re expanding somewhere between 200 to 250 stores next 12 months,” he told reporters last week. He said the minimart chain has room to grow in each urban and underserved areas, where its small-box format is positioned to draw every day shoppers.
Alfamart Philippines, a three way partnership between SM and Indonesia’s PT Sumber Alfaria Trijaya Tbk, offers a mixture of basic groceries, SM Bonus items, fresh and frozen goods, snacks and private care staples.
The chain ended September with about 2,337 stores across the country, making it one among the fastest-growing minimart operators within the Philippines.
Minimarts have change into a vital complement to larger grocery stores as consumers buy food and home items in smaller, more frequent trips. This has helped chains like Alfamart expand rapidly even in markets where traditional supermarkets are already present.
For Alfamart, the push so as to add as many as 250 stores next 12 months signals confidence that demand locally retail space will endure despite economic uncertainties.
The chain’s growing network of stores has allowed SM Retail to tap into dense residential areas and smaller industrial zones where large-format stores have limited reach.
Earlier this 12 months, Alfamart opened its business to franchisees, targeting micro, small and medium enterprises that need to run community stores. Mr. Ng said the reception has been positive, adding that the group sees franchising as one other solution to bolster its presence in additional neighborhoods.
The expansion plan also aligns with SM Supermalls’ P150-billion program to construct and redevelop properties through 2030. Mr. Ng said Alfamart will open in upcoming SM malls as a part of SM Retail’s strategy to take a seat near rising foot traffic.
SM Supermalls’ pipeline includes major projects comparable to SM Sta. Rosa in Nuvali set for completion in 2026, Harrison Plaza in Manila in 2027, SM Malolos in Bulacan by 2028, Cavite in 2029 and Pasay in 2030.
“For next 12 months, we’ll proceed to concentrate on our strength,” Mr. Ng said, adding that the chain adapts its assortment to match shifting consumer preferences.
“We at all times have a look at what shoppers are buying and check out to bring these into our stores.”
He said political noise has not modified the group’s long-term view. “There’s still lots of political noise, but we at all times keep a long-term view. So we are going to proceed to open stores,” he said.
SM Retail also expects a robust holiday season as consumers receive Christmas bonuses and increase spending on food and gifts.
“The fourth quarter is at all times our strongest quarter historically,” Mr. Ng said. “There’s at all times an enormous pick-up in December when the Christmas bonuses are available. Filipino consumers often spend time with the family during this era, in order that they go to malls and retail stores.”
Despite the softer bottom line, SM Retail’s scale across multiple retail formats — supermarkets, shops, specialty shops and minimarts — has helped cushion market swings. For the primary nine months, SM Retail posted a 4.69% decline in net income to P12.2 billion from a 12 months earlier. Revenue rose 5% to P318.1 billion, driven by steadier consumer demand for essentials and higher foot traffic across malls.
SM Investments Corp., its parent company, reported a 6% increase in consolidated net income in the course of the same period to P64.4 billion, supported mainly by the banking operations of BDO Unibank, Inc. and China Banking Corp. Retail, property and other business segments also contributed regular earnings. SMIC shares closed at P700 each on Thursday. — Beatriz Marie D. Cruz