Wumart Stores, the Beijing-based, Hong Kong-listed grocery retailing giant, has today reported an 11.9 per cent increase in sales in the first six months of the year.
Total revenue topped RMB11.6796 billion at a time when foreign box box food and hypermarket retailers are feeling the pressure. Lotte Mart this week said it was closing four China stores, and Walmart and Carrefour are both struggling to achieve growth and profitability.
The company says its continuing growth is being driven by new store openings, same store sales increases, higher revenue from suppliers and increased rental income.
During the Reporting Period, comparable store sales of the Group increased by approximately
4.2 per cent, recording an increase of approximately 3.3 percentage points in growth as compared to the corresponding period of last year.
The group’s consolidated gross profit amounted to about RMB2,265 billion, up about 6.8 per cent on the same period of 2014. Consolidated gross profit margin was 19.4 per cent.
Wumart says it will prioritise its business expansion in Beijing, Tianjin, Hebei and Zhejiang.
As at June 30, Wumart had 586 stores – 42 more than at the same time last year.
