7-Eleven Malaysia’s revenue has increased by 4.8% to MYR2.1bn (US$ 473m) from RM2.0bn (US$ 451m) for the financial year ended Dec 31, 2016.
Revenue improves but profit declines
For the fourth quarter, the group’s revenue has grown 4% to MYR524m (US$118m). The profit before tax has dropped 39% from MYR20m (US$4.5m) for the same period last year, due to higher selling and distribution expenses from store expansion as well as the impact of the minimum wage increase from July 1.
The improvement in revenue is driven by new store openings. With 204 new stores, 7-Eleven currently operates 2,122 outlets in the country as of 1st January 2017.
“We remain confident that continuous store expansion, refurbishment, promotional activity, improved merchandise mix and expanded in-store services will continue to deliver positive results despite the challenging headwinds,” says CEO Gary Brown.
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