KUALA LUMPUR (Feb 27): Convenience store chain operator 7-Eleven Malaysia Holdings Bhd (KL:SEM) posted its first quarterly loss since going public 10 years ago.

This was due to share of losses and impairment losses of the investment in joint ventures and tax expenses arising from corporate investments.

The group swung into a net loss of RM2.66 million for the three months ended Dec 31, 2024 (4QFY2024), as opposed to a net profit of RM206.34 million a year ago. This was despite revenue rising 7.38% to RM745.49 million from RM694.28 million a year ago, driven by 69 new store openings along with a boost in sales from the year-end holiday season.  

Loss per share stood at 0.24 sen in 4QFY2024 versus earnings per share of 18.6 sen for 4QFY2023.

Excluding the corporate exercise expenses, 7-Eleven said it would have recorded a normalised profit after tax from continuing operations amounting to RM9 million against a loss after tax in the same quarter last year.

It incurred a lower loss after tax from continuing operations of RM3.5 million in 4QFY2024, compared to RM54.17 million a year ago.

No dividend was announced for the quarter under review.

For the full FY2024, the group posted a net profit of RM41.61 million, a whopping 84.1% drop from RM261.77 million in FY2023.

Annual revenue, meanwhile, grew 5.1% to RM2.93 billion from RM2.78 billion a year earlier.

On its prospects, the group is optimistic of a stronger performance this year with the anticipated net increase in overall consumer spending.

Key factors expected to support the retail sector include higher civil servant salary and a rise in the minimum wage from RM1,500 to RM1,700 per month, both of which are expected to bolster consumer spending, it added.

Shares of 7-Eleven ended four sen or 2% lower at RM1.96 on Thursday, giving the group a market capitalisation of RM2.3 billion.