GS Retail(007070) said in a filing on the 7th that second-quarter operating profit rose 27.5% from a year earlier to 109.4 billion won. Revenue rose 6.7% to 3.1751 trillion won, and net profit came to 64.6 billion won, up 354.5%.
Flagship businesses including GS25 convenience stores and GS The Fresh supermarkets posted broad-based growth, lifting results. In particular, increased demand for fresh grocery shopping centered on convenience stores and a rise in foreign customers drove revenue growth.
GS25's second-quarter revenue rose 7.1% on-year to 2.3844 trillion won, and operating profit increased 21% to 71.4 billion won. The company said average daily sales at existing stores grew 7.5%, marking the industry's highest level of growth.
As sales of fresh foods such as vegetables, fruit, livestock products, and seafood expanded, total sales of grocery items increased 49.6% from a year earlier. Sales to foreign customers and sales of health functional foods rose 67.2% and 98%, respectively.
GS The Fresh's second-quarter revenue rose 10.1% on-year to 469.8 billion won, and operating profit increased 72.2% to 9.3 billion won. New openings boosted the number of operating stores to 596. A trade area–tailored strategy delivered results, increasing customer traffic. Quick commerce revenue also grew 49.5%, and its share of total revenue reached 9.9%, a record high.
Home shopping unit GS Shop extended its earnings improvement for a third straight quarter. Revenue was 268.2 billion won, up 0.9% from a year earlier, and operating profit rose 6% to 26.7 billion won.
GS Retail's cumulative revenue for the first half of this year was 6.03 trillion won, up 5.3% from a year earlier. During the same period, operating profit rose 31.4% to 167.7 billion won, and net profit jumped 463% to 107.2 billion won.