SEOUL– GS Retail Co. said Tuesday its net losses deepened in the fourth quarter from a year earlier on foreign exchange losses and an asset impairment of its affiliates.
The consolidated net losses widened to 40.1 billion won (US$31.9 million) in the October-December period, compared with a loss of 13.1 billion won a year earlier, the company said in a regulatory filing.
The company blamed the widened net loss on an asset impairment of affiliates the company acquired earlier and foreign exchange losses from overseas venture funds.
“The stakes in the logistics company Mesh Korea Co. and others we acquired earlier declined in value, and were reflected in the fourth quarter this year,” a company official said.
Operating income for the October-December period was 85.3 billion won, up 180.9 percent from a year ago, the company said. Sales rose 9.9 percent to 2.88 trillion won.
By business, GS25 convenience stores were strong, with operating profit rising 36.7 percent on-year to 43.2 billion won. Sales were up 9.1 percent to 1.9 trillion won.
Its supermarket business turned to a profit in the fourth quarter, posting 40 billion won in operating profit.
GS Retail’s hotel business grew 190.5 percent in operating profit from the previous year amid a rise in international travelers and domestic demand for hotel stays.
Its infomercial channel, GS Shop, posted an operating profit increase of 49 percent, while sales declined 1.9 percent.
For the entire year of 2022, the company posted a net profit of 50.4 billion won, down 93.7 percent from a year earlier.
Operating profit for the entire year came to 245.1 billion won, up 11.7 percent. Sales rose 15.8 percent to 11.22 trillion won.
Source: Yonhap News Agency