Isetan Singapore’s retail sales down, but profit up
Retailer Isetan Singapore has achieved a net profit of S$1.5 million (US$1.1 million) in its first quarter this year.
The takings represent an increase of 29.65 per cent from the same period last year and are attributable to the adoption of a new accounting policy since January, which saw a drop in the group’s rental expenses.
However, the Japanese company’s local revenue fell 6.83 per cent during the period to $29.2 million (US$21.2 million), following lethargic sales of retail goods and consignment income, despite enjoying a raise in rental income from its Wisma Atria investment.
Earlier this month, Isetan Singapore announced it would not renew the lease on its loss-making Westgate Mall store when it expires in December. It is also taking steps to arrest falling sales at its Orchard Road flagship.