7-Eleven Malaysia has boosted sales by 7.2 per cent in the first half of this year, aided by new store openings, increased promotions and a higher average spend per customer.
The company now has 2323 stores trading and plans further openings in the second half of this year.
For the six months to June 30, 7-Eleven Malaysia group revenue reached RM1.17 billion (US$277.9 million) Revenue from its food-service business surpassed 3.5 per cent of the group’s total, an increase of more than 30 per cent year on year.
Gross profit improved by RM33.7 million or 8.5 per cent year on year, despite expenses related to store openings. The adoption of MFRS 16 accounting standards relating to leases reduced post-tax profit by RM4.6 million. Excluding that factor, the group would have achieved a profit after tax of RM30.3 million, which would have been 37.4 per cent ahead of the same period last year.
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CEO Colin Harvey said the company was pleased with its overall results, especially given the impact of MFRS 16.
“We are confident that continuous implementation and improvement of our strategy roadmap in strengthening the key areas of assortment, supply chain, operational excellence, store base and digitally enabling the organisation will continue to deliver positive results despite challenging headwinds as we look forward to ensuring that 7-Eleven remains Malaysian consumers’ preferred convenience store brand.”
The 7-Eleven Malaysia board believes trading conditions for the next quarter are expected to remain challenging