Homeplus Reports Sales Decline and Return to Losses Last Year... "Impact from Prolonged COVID-19 Pandemic"

[Asia Economy Reporter Lim Chun-han] Homeplus has reported a decrease in sales and a return to losses last year due to the prolonged impact of COVID-19.

According to Homeplus on the 31st, the sales revenue for the fiscal year 2021 (March 2021 to February 2022) was 6.4807 trillion KRW, down 485.5 billion KRW compared to the fiscal year 2020. Operating loss turned to 133.5 billion KRW, and net loss for the period was recorded at 37.2 billion KRW.

The main cause of the sales decline was pointed out as the sharp decrease in customers visiting offline stores due to the rapid surge in Omicron variant cases during the year-end and early-year period, which usually generates high sales. However, Homeplus explained that since March this year, sales have been rapidly recovering amid the reopening (resumption of economic activities) atmosphere.

Homeplus is expanding its investment scale this year to continuously renovate offline stores and strengthen online delivery infrastructure. This growth strategy has recently led to increased sales in renewed stores along with a significant rise in online sales.

Homeplus also stated that as of the end of the fiscal year 2021, the total liabilities decreased compared to the previous year, and financial costs also declined, improving financial stability.

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