Meal kits drive strong sales and profit growth for GS Retail
GS Retail, which operates the South Korean convenience-store chain GS25, has reported a huge profit increase for this year’s first financial quarter, boosted by sales of pre-packed meal kits popular during the coronavirus lockdown.
GS Retailreported a KRW88.8 billion (US$72.1 million) in profit from January to March, a 314.7-per-cent increase over last year’s figures. The result was considerably higher than the projected KRW23.9 billion ($19.5 million) profit for the period, and sparked a 16.6-per-cent rise in its share value.
A 98.7-per-cent surge in online sales was also a significant contributor to the firm’s first-quarter good fortune, with overall sales totalling KRW1.6 trillion ($1.3 billion).
Last year, in the same period, GS Retail recorded a loss of KRW4.8 billion ($3.9 million).