KUALA LUMPUR (Aug 18): 99 Speed Mart Retail Holdings Bhd (KL:99SMART) posted a 22.05% rise in its second quarter net profit, driven by higher revenue from more outlets and increased transactions.

The company said it benefitted from stronger consumer purchasing power following the recent minimum wage hike and government social assistance initiatives like Sumbangan Asas Rahmah.

Net profit for the three months ended June 30, 2025 (2QFY2025) rose to RM153.21 million from RM125.53 million a year earlier, while earnings per share increased to 1.82 sen from 1.49 sen. 

Revenue for the quarter under review climbed 11.9% to RM2.71 billion from RM2.42 billion. No dividend was declared for the period.

In a filing with Bursa Malaysia, 99 Speed Mart said it added a net 248 outlets year-on-year, bringing its total store count to 2,894 as of June 30, 2025. Total sales transactions rose 13.2% to 128.9 million, though the average basket size dipped slightly to RM21 from RM21.30 a year earlier.

The company’s other operating income — which includes product display, distribution centre, and marketing allowances — grew 22.6% year-on-year to RM225.3 million, reflecting higher product display activity aligned with the outlet network expansion.

These gains were partially offset by higher administrative and other operating expenses, which rose 17.5% to RM348.2 million. 

For the first half of FY2025, 99 Speed Mart’s net profit rose 14.57% to RM296.39 million from RM258.69 million, while revenue increased 9.77% to RM5.32 billion from RM4.85 billion.

Looking ahead, the company remains confident in its growth trajectory, supported by continued expansion and innovative retail initiatives, said founder and chief executive officer Lee Thiam Wah.

“As part of our long-term value strategy, we have rolled out the enduring “4 items for RM10” series nationwide, with dedicated Everyday Value Zones in our stores featuring at least 40 curated products across key categories to offer greater value and support cost-conscious households in managing their daily needs. We believe this series not only resonates with the shopping habits of certain customers but also encourages overall spending,” he said in a statement. 

Shares of 99 Speed Mart jumped 11 sen or 4.6% to RM2.50 at Monday’s closing bell, giving it a market capitalisation of RM21 billion.