KUALA LUMPUR (Aug 21): 7-Eleven Malaysia Holdings Bhd (KL:SEM) reported a flat second-quarter net profit despite a 7.16% increase in revenue, weighed by higher operating, selling and distribution expenses.

Net profit for the three months ended June 30, 2025 (2QFY2025) came in at RM19.96 million, compared with RM20.5 million a year earlier. Earnings per share was 1.8 sen versus 1.85 sen in 2QFY2024.

Quarterly revenue rose to RM805.59 million from RM751.8 million in 2QFY2024, aided by new store expansions, coupled with the Hari Raya festive season, which spurred consumer spending, according to its bourse filing.

It marked the convenience store operator’s highest quarterly revenue since the record high of RM1.07 billion seen in 2QFY2023.

No dividend was proposed for the quarter under review.

Operating expenses increased by 10.6%, primarily due to higher store operation-related expenses driven by longer operating hours and the net addition of 58 new stores, bringing the total number of stores to 2,651.

The increase was also partly driven by workforce expansion to meet the anticipated business demand, it added.

Its selling and distribution expenses increased by 14.11% to RM228.3 million in 2QFY2025 from RM200.06 million a year ago.

For the first half of FY2025 (1HFY2025), net profit dropped 8.25% to RM30.59 million from RM33.33 million, while revenue rose 8.69% to RM1.56 billion from RM1.44 billion during the same period.

The decline in 1HFY2025 profitability was mainly due to higher costs incurred in support of its CAFé by 7-Eleven expansion efforts, which numbered over 700 and still growing at the time of writing.

An expected increase in overall consumer spending added to optimism towards delivering a stronger performance in FY2025, it said.

Shares in 7-Eleven Malaysia closed one sen or 0.5% lower at RM2 on Thursday, giving the group a market capitalisation of RM2.34 billion.