7-Eleven Holdings Bhd’s net profit for the first quarter ended March 31, 2022 (Q1’22) doubled to RM24.38 million from RM11.77 million a year agom mainly contributed by the pharmaceutical segment.
The group’s revenue jumped 27.8% to RM839.98 millon compared with RM657.13 million in Q1’21 thanks to further flexibility accorded for consumer-related activties and longer trading hours as Malaysia transitioned into phase four of the National Recovery Plan in January, when most economic sectors reopened and social activities, including interstate travel, were allowed.
Malaysia has now entered the endemic phase, where there will no longer be limits on business operating hours or on capacity of commercial and social premises.
“With the reopening of international borders, the group is optimistic on this gradual recovery of retail trading conditions and the economy at large. However, the group is cognisant and will continue to monitor potential headwinds arising from global supply chain disruptions, local minimum wages and labour availability; essentially, we will take appropriate measures to mitigate their impact, as necessary,“ 7-Eleven said.
In the coming year, the convenience store segment will continue to focus on the rollout of its 7-Café format, which entails improved product offerings and in-store customer experience. In addition, the 7-Café format is expected to contribute positively to the growth of its fresh food category.
The pharmaceutical segment, which showed resilience during the pandemic period, will continue to strengthen its market share together with The Pill House and Wellings group. Through the recently announced joint venture with PT Era Caring Indonesia, the group will mark its entry into the Indonesian market, operating a network of pharmacies under the “Wellings” brand in the current year.