20-05-2025
- Business
- New Straits Times
Eco-Shop posts 45pct jump in Q3 earnings, revenue up 17pct
KUALA LUMPUR: Eco-Shop Marketing Bhd's net profit rose 45 per cent to RM61.72 million for the third quarter (Q3) ended Feb 28, 2025, from RM42.57 million a year ago.
In a filing with Bursa Malaysia, the company said quarterly revenue rose 17.2 per cent to RM736.35 million, compared to RM628.41 million in the previous year.
The growth was primarily driven by the expansion of company's store network, with 26 new outlets opened in Q3 financial year 2025 (FY25) compared to 14 in Q3 FY24.
"The total store count increased from 278 stores in Q3FY24 to 349 stores in Q3 FY25. Additionally, revenue was supported by a modest increase in same store growth of 0.6 per cent," it said.
For the nine months ended Feb 28, 2025 (9M25), Eco-Shop's net profit increased 35.9 per cent to RM154.91 million from RM114.02 million, while revenue rose 19 per cent to RM2.098 billion from RM1.763 billion in 9M24.
Eco-Shop said it remains confident in its growth prospects and is committed to expanding its store network, with a focus on suburban and rural areas.
In terms of sales value, Eco-Shop said the sector is expected to grow at a compound annual growth rate of 14.2 per cent in the next five years from 2024 to 2029, presenting a robust runway for expansion.
"Positioned to capitalise on the growing dollar store retail sector in Malaysia, Eco-Shop plans to continue its expansion, particularly in sub-urban and rural areas, aiming to open approximately 70 new stores per year over the next five years," it said.
Looking ahead, Eco-Shop said the company continues to be vigilant and well-prepared to manage various cost and risk factors.
"As our store network continues to grow, we anticipate greater demand for distribution and storage capabilities.
"With improving transaction counts recorded and increased spending expected due to the recent increase in minimum wage, the company foresees a positive growth outlook in the periods ahead," it added.
