SEOUL– South Korean retail giant Shinsegae Inc. said Wednesday that its net income more than tripled in the fourth quarter from a year earlier helped by the robust performance of its fashion and luxury businesses.
Shinsegae’s net income in the October-December period came to 96.4 billion won (US$80.7 million) on a consolidated basis, up from 31.4 billion won from the same period a year earlier, according to its regulatory filing.
Operating profit rose 89.1 percent on-year to 195.1 billion won, and sales increased 43.9 percent to 1.93 trillion won, during the three-month period.
Shinsegae said in a statement that its earnings increased due to the brisk sales of its fashion and luxury affiliates, particularly Shinsegae Department Store and Shinsegae International.
Shinsegae Department Store’s fourth-quarter operating profit jumped 59.1 percent on-year to 140.2 billion won, with sales growing 25.6 percent to 637.7 billion won. Sales of overseas fashion and luxury brands increased 32.5 percent and 41.9 percent, respectively.
Shinsegae International, the fashion affiliate of Shinsegae, saw its quarterly operating profit jump 73 percent on-year to 30.1 billion won, with sales growing 9.7 percent to 417.9 billion won.
For the whole of 2021, Shinsegae shifted to a net profit of 391.2 billion won from a net loss of 69.1 billion won a year earlier.
Its annual operating profit soared 484.6 percent on-year to a record 517.3 billion won. Annual sales increased 32.4 percent to 6.31 trillion won.
Upon Shinsegae’s earnings report release, its shares rose 2.62 percent to 254,500 won as of 2:14 p.m. on the Seoul bourse, outperforming the broader KOSPI’s 0.88 percent gain.
The earnings results were released during the stock trading session.
Source: Yonhap News Agency