GS Retail Q1 Operating Profit 27.3 Billion KRW...27.2% Decrease YoY (Comprehensive)

[Asia Economy Reporter Lim Chun-han] GS Retail announced on the 4th that its consolidated operating profit for the first quarter of this year was tentatively estimated at 27.3 billion KRW, a 27.2% decrease compared to the same period last year.

Sales increased by 23.7% year-on-year to 2.5985 trillion KRW, while net profit fell by 84.9% to 5.2 billion KRW.

By business segment, convenience store sales amounted to 1.7557 trillion KRW, up 6.5% year-on-year, while operating profit decreased by 7.8 billion KRW to 34 billion KRW. GS Retail explained, “Operating profit declined due to increased advertising and promotional expenses to boost sales, higher fees for service development such as GS Pay, The Pop, and Wine25+, and other fixed cost increases.”

Supermarket sales rose 6.2% year-on-year to 317 billion KRW, with operating profit decreasing by 2.9 billion KRW to 8.2 billion KRW. This sales increase was due to the effect of new store openings.

Home shopping transaction volume increased by 1.1% year-on-year to 1.1403 trillion KRW. Operating profit fell by 11.3 billion KRW to 25.9 billion KRW due to increased transmission fees.

Parnas Hotel sales rose 35.9% year-on-year to 61.4 billion KRW, and operating profit increased by 8.7 billion KRW to 8.8 billion KRW. This was attributed to a significant increase in banquet sales as wedding demand recovered and corporate event demand grew following the easing of COVID-19 restrictions.

This content was produced with the assistance of AI translation services.