7-Eleven Malaysia’s Q3 net profit more than doubles

PETALING JAYA: 7-Eleven Malaysia Holdings Bhd saw third quarter (Q3) net profit more than double helped by sales growth, gross profit margin expansion, growth in other operating income and lower administrative and other operating expenses.
The group saw net profit grow to RM17.13 million for the quarter ended Sept 30, 2014, compared with RM8.19 million for the same quarter in 2013.
Revenue was also up by 11.7% to RM487.3 million compared with the previous year's RM436.4 million, mainly driven by growth in new stores improved merchandising mix and increased promotional activity.
In its results filing with Bursa Malaysia, the group said it remains positive in its outlook for the remainder of the year given the continuing roll-out of new stores to increase the existing network as well as the on-going store refurbishment programme.
It also noted that the increased shopper promotional activities along with a further expansion of in-store services and the group's food and beverage offerings at store level will help drive the group's revenue and profit growth.
7-Eleven Malaysia CEO Gary Brown said the strong Q3'2014 and year-to-date Q3'2014 results reflect positive growth in its revenue and profits driven by the on-going execution of the group's strategy.
"Growth in new stores, on-going store refurbishment, improved merchandise mix, increased shopper promotion activity, enhanced fresh food & beverage offerings and expanded in-store services have all contributed to the strong results," he said in a statement, adding that to date, 175 new stores have opened this year, bringing its network up to 1,710 stores.
Net profit for the nine month period ended Sept 30, 2014 was up 34% to RM45.2 million, compared with RM33.6 million for the same period in 2013.
Revenue was also up at RM1.4 billion for the nine month period from RM1.3 billion for the corresponding period in 2013.