Family Mart's Q1 net profits down due to cost hikes

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Family Mart's Q1 net profits down due to cost hikes
Japan’s third-largest convenience store operator Family Mart said net profits for the first quarter ended May 2006 dropped three per cent from a year earlier to JPY3.7bn (US$31.6mn) as the cost of opening new stores offset strong sales results. Operating profit declined by JPY100mn to JPY7bn (US$59.7mn) despite Q1 revenues soaring 11.8 per cent to JPY74.5bn (US$635.5mn).

Family Mart added more stores, both at home and overseas. By the end of May the total number of Family Mart stores including franchise stores rose by 328 compared to a year before to 6,740. Overseas the store number increased by 969 tot 5,856 stores by May 2006.


Apart from its domestic market Japan, Family Mart is also operating in China, Korea (South and North – it has two stores in North Korea), Taiwan, thailand and the U.S. Fort he current business year ending February 2007, Family Mart maintained its previous forecasts: net profits of JPY16.1bn (US$137.3mn), operating profit of JPY33.4bn (US$285mn) and revenues of JPY307.5bn (US$2.6bn).

Published 05-07-2006 (09:53)

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