Shinsegae Q3 Operating Profit Hits KRW 164.3 Billion, a "Record High," Up 64.6% YoY

Department store operating profit up 23.5%
Subsidiaries also post record third-quarter operating profits
Dividend doubled; treasury shares also canceled

Shinsegae posted consolidated operating profit of KRW 164.3 billion in the third quarter, its highest ever. Higher earnings from its department store business and a return to profitability at major subsidiaries, including its duty-free business, contributed to the improvement.

Shinsegae said it recorded consolidated revenue of KRW 1.6562 trillion and operating profit of KRW 164.3 billion in the third quarter. Revenue rose 1.2% and operating profit increased 64.6% from a year earlier.

The department store business posted revenue of KRW 689.2 billion, up 10.7% year on year, and operating profit of KRW 103.7 billion, up 23.5%. These figures include the combined results of separate entities in Gwangju, Daegu and Daejeon, among other locations. Revenue rose 44% at the Main Store, 17% at the Gangnam Store and 14% at the Centum City Store. Foreign customer sales totaled KRW 850 billion through the third quarter, more than double the figure from a year earlier.

Its subsidiaries Shinsegae DF, Shinsegae Central, Shinsegae Casa and Shinsegae Live Shopping also recorded their highest-ever third-quarter operating profits.

Shinsegae DF, which operates Shinsegae Duty Free, posted revenue of KRW 451.1 billion, down 16.3%, but returned to profitability with operating profit of KRW 25.3 billion. This was an improvement of KRW 30.9 billion from a year earlier.

Shinsegae International, which operates fashion and beauty businesses, posted revenue of KRW 299.5 billion, up 16.6%, and returned to profitability with operating profit of KRW 5.1 billion. Operating profit improved by KRW 9.4 billion year on year. Revenue rose 17.3% in the fashion division and 15.9% in the cosmetics division.

Shinsegae Central posted revenue of KRW 107.2 billion and operating profit of KRW 31.2 billion, up 9.3% and 13.0%, respectively. Its quarterly operating profit topped KRW 30 billion for the first time since it became part of Shinsegae.

Shinsegae Live Shopping maintained revenue at a similar level to the same quarter a year earlier, at KRW 84.8 billion, while operating profit rose 33.3% to KRW 3.2 billion. This was its highest third-quarter operating profit since it became part of Shinsegae.

Shinsegae Casa posted revenue of KRW 118.2 billion, up 85.0%, and returned to profitability with operating profit of KRW 900 million. Operating profit improved by KRW 1.3 billion year on year.

Shinsegae said it would strengthen its shareholder returns in line with its improved performance.

According to the Financial Supervisory Service's electronic disclosure system, Shinsegae's third-quarter dividend per common share was KRW 2,600, double the previous quarter's amount.

It will also cancel 338,750 treasury shares worth approximately KRW 60.9 billion.

A Shinsegae representative said, "Our department store business's core competitiveness and improvements in our subsidiaries' business fundamentals translated into results, allowing us to post our highest-ever third-quarter operating profit. We will continue investing for the future while creating a decisive competitive edge through the specialization of each company's business."

This content was produced with the assistance of AI translation services.