KUALA LUMPUR (May 15): Home-grown mini-market operator 99 Speed Mart Retail Holdings Bhd (KL:99SMART) posted a 7.53% year-on-year (y-o-y) increase in net profit to RM143.18 million for the first quarter ended March 31, 2025 (1QFY2025), driven by stronger retail sales and network expansion.
Earnings per share came in at 1.7 sen, up from 1.59 sen a year earlier, according to the group’s filing with Bursa Malaysia. Revenue saw the same growth pace, up 7.66% to RM2.61 billion from RM2.43 billion in 1QFY2024.
The group declared its first interim dividend of 2.25 sen per share, amounting to a total payout of RM189 million, which will be paid on June 9. With a dividend policy of distributing approximately 50% of net profit, it intends to declare dividends twice annually.
As at end-1Q FY2025, 99 Speed Mart had cash and bank balances of RM779.62 million.
“We are pleased to kick off the financial year with a solid set of results, reflecting our ongoing expansion and the growing traction of 99 Bulksales,” said founder and chief executive officer Lee Thiam Wah in a statement.
To support future growth, the group said it expects to commence operations at its new distribution centre (DC) in Cyberjaya, Selangor by the second quarter of 2025, following the commissioning of its Miri, Sarawak DC in March.
The Cyberjaya facility, with a built-up area of approximately 120,000 square feet, will serve around 200 outlets in the region and further bolster the group's bulk sales e-commerce capabilities.
“As we continue to scale our outlet network and enhance accessibility, our commitment remains on offering affordable and convenient daily essentials to communities nationwide, which is in line with our NEAR n’ SAVE ethos,” Lee added.
During the quarter, total sales transactions rose 7.8% y-o-y to 119.6 million, with the average basket size stable at RM21.80. The group also registered a net addition of 246 outlets y-o-y, bringing its total store count to 2,833 as of March 31, 2025.
Shares in 99 Speed Mart closed four sen or 1.79% higher at RM2.19 on Thursday, giving the group a market capitalisation of RM18.4 billion. The counter is down nearly 11% year-to-date.