GS Retail announced on the 9th that its first-quarter performance for this year was provisionally tallied at sales of 2.76 trillion won and an operating profit of 38.6 billion won. Compared to the same period last year, sales increased by 2.2%, while operating profit dropped by 22.3%.
The institutional sector of convenience stores reported sales of 2.01 trillion won and an operating profit of 17.2 billion won. While sales increased by 2.2% compared to the first quarter of last year, operating profit decreased by 34.6%. The company noted, "Despite a challenging domestic and external environment and seasonal impacts, sales increased due to robust performance of products such as Jeonnie Sweet Mix Jelly and Seongyang Oak Soju, but increased selling and administrative expenses has negatively affected profitability."
The institutional sector of supermarkets recorded sales of 416 billion won and an operating profit of 7.8 billion won. Sales increased by 9.2% compared to the same period last year, while operating profit decreased by 21.2%. The sales growth was driven by the expansion of new franchise locations and the activation of quick commerce.
The institutional sector of home shopping reported sales of 257.8 billion won and an operating profit of 22.4 billion won. Both sales and operating profit decreased by 6.7% and 31.7%, respectively, compared to the same period last year due to a decline in TV viewership and intensified competition in online shopping.
A GS Retail official stated, "Amidst a stagnant consumer sentiment, we achieved sales growth through marketing, sales activities, and hit products aimed at stimulating domestic consumption," adding, "We will focus on strengthening products and services desired by customers and prioritizing internal stability over external competition, committing to sustainable business growth."