Hyundai Department Store announced on the 5th that its preliminary third-quarter results came to 1.01 trillion won in revenue and 72.6 billion won in operating profit. Compared with the third quarter of last year, revenue fell 2.6%, but operating profit rose 12.3%.
Net profit for the period was 47.6 billion won, up 67.4% from a year earlier.
The department store institutional sector's standalone results were 576.8 billion won in revenue and 89.3 billion won in operating profit. They rose 1.5% and 25.8%, respectively, from the third quarter of last year.
A Hyundai Department Store official said, "With the K-content boom and the lifting of visa requirements for Chinese visitors expanding the inflow of foreign customers, the department store institutional sector's growth momentum has strengthened," adding, "On top of that, thanks to a recovery in consumer sentiment following the government's economic stimulus measures, sales of key categories such as fashion, luxury goods, and high-end jewelry were strong, leading to a sharp increase in operating profit along with revenue."
On the fourth-quarter outlook, the official added, "As recent lower temperatures are boosting sales of outerwear and other high-margin categories, the department store institutional sector's high-growth trend will continue."
The duty-free institutional sector posted 222.5 billion won in revenue and 1.3 billion won in operating profit. Revenue fell 2.5% from the third quarter of last year, but it swung to a profit.
Hyundai Department Store said, "With operational efficiency efforts coinciding with a recovery in travel demand, third-quarter operating profit swung to a surplus," adding, "We expect the solid trend of profit improvement to continue in the fourth quarter, building a stable profit structure centered on profitability."
Subsidiary ZINUS posted 241.7 billion won in revenue and 7.8 billion won in operating profit. Revenue fell 11.4% from a year earlier, but it swung to a profit.
A Hyundai Department Store official said, "Although revenue and operating profit temporarily declined in the third quarter due to tariff uncertainties and the global economic slowdown, results are expected to improve in the fourth quarter."