Emart announced on the 12th that its second-quarter performance for this year showed sales of 7.39 trillion won and an operating profit of 21.6 billion won. Sales decreased by 0.2% (17 billion won) compared to the same period last year, but operating profit increased by 56.2 billion won, resulting in a return to profitability.
The standalone performance showed sales of 4.2906 trillion won and an operating profit of 15.6 billion won. Sales increased by 11.8% compared to the same period last year, and it returned to profitability.
Emart explained, "Since last year, we have continuously reduced costs through consolidation of purchases, and this has resulted in an increase in customers by reinvesting into customer-centric price benefits and other initiatives." Additionally, the introduction of new types of stores represented by Starfield Market and the effects of opening new stores also contributed.
Emart has been conducting a large-scale discount event called "Gorae-it Festa" since the beginning of this year based on the price competitiveness secured through consolidation of purchases. Popular items such as Korean beef, watermelon, and pork belly, as well as processed foods and daily necessities, are being sold at up to half price. Sales and visitor numbers during the June Gorae-it Festa, held as a customer appreciation event in the first half of the year, were up 33% and 18%, respectively, compared to the same period last year.
Store renovations that reflect changing customer lifestyles are also showing results. Starfield Market, which introduced relaxation spaces represented by Bookground and Kid's Ground, is a prime example.
Sales and visitor numbers for the first Starfield Market located in Jugjeon increased by 104% and 82%, respectively, compared to the same period last year. The Starfield Market Kintex, which reopened after renovations as the second location on June 26, recorded a 39% increase in sales and a 67% increase in visitor numbers from the opening until July 25, compared to the same period last year.
In the case of Emart Traders, visitor numbers increased by over 4% in the second quarter, with sales rising by 8.1% compared to the same period last year. The discount store also saw a 0.3% increase in customer numbers in the second quarter.
Subsidiary Shinsegae Property recorded an operating profit of 5.2 billion won, an increase of 4.5 billion won compared to the previous year, thanks to strong sales from major stores such as Starfield Goyang and Starfield COEX. Shinsegae Food achieved an operating profit of 13.5 billion won, up 39% compared to the same period last year through cost improvements.
However, the e-commerce subsidiary struggled. SSG.com recorded sales of 350.3 billion won, a decline of 11.4% compared to the same period last year. Operating losses grew by 14.1 billion won to reach 31 billion won. Gmarket posted sales of 181.2 billion won and an operating loss of 29.8 billion won. Sales decreased by 28.3% compared to the second quarter of last year, while the operating loss widened by 22.2 billion won.
SCK Company, which operates Starbucks, recorded sales of 795.5 billion won and an operating profit of 40.3 billion won. Sales increased by 4.7% compared to the same period last year, but the operating profit decreased by 6.5%.
Emart24 recorded sales of 532.2 billion won and an operating loss of 4.4 billion won. Sales decreased by 5.9%, and the loss widened by 1.7 billion won.
An Emart official stated, "The strategy to enhance core business competitiveness through product, price, and space innovations, which we have been vigorously pursuing since last year, continues to be effective," adding, "In the second half, we will accelerate growth and revenue improvement by applying sustained price investments and structural innovations based on our offline super gap strategy."