Mobile World ups revenue by 17 per cent in Jan-Aug

Monday, Sep 23, 2019 16:15

Shoppers at a Bach Hoa Xanh store, a grocery retail chain of the Mobile World Investment Corporation (HoSE: MWG). Grocery and food sale revenue jumped 158 per cent to VND6.12 trillion in January-August. — Photo

Multi-sector retailer Mobile World Investment Corporation recorded VND68.85 trillion (US$2.96 billion) worth of total net revenue in the January-August period.

The figure was up 17 per cent year on year and accounted for 63 per cent of the full-year expectation, which is set at VND108.5 trillion.

Online sales accounted for 13 per cent of the firm’s eight-month net revenue and the figure added one-fifth yearly to VND9.16 trillion during the period.

Electronics sales were VND39.7 trillion in eight months, up 22.5 per cent year on year. Meanwhile, phone and accessories sales were down 3.8 per cent yearly to VND22.9 trillion.

According to the company, sales of mobile phones and electronics often stall in the third quarter of each year and grow again in the year-end holidays.

The company often posts lowest sales and profits in August because of the rainy season and Vietnamese consumers are unwilling to buy new products due to the lunar month of ghosts.

Grocery jumps

The company recorded big growth in grocery sales, which soared 158 per cent year on year to VND6.12 trillion.

Mobile World had opened a total of 725 Banh Hoa Xanh grocery retail stores across the country as of August 31, 2019. Forty-four per cent of all stores were located in the southern region (except HCM City).

The company in August opened its first store in Binh Thuan province, also the first south central region store.

Boosting grocery and food sales in the eight-month period was by cutting down on product loss and order cancellations, which fell to 2.5 per cent in August from an average of 3 per cent in the previous seven months.

After eight months, Mobile World earned VND2.7 trillion worth of post-tax profit, up 37 per cent yearly.

The company has fulfilled 76 per cent of its full-year profit target of VND3.57 trillion.

Mobile World said the accumulative net profit margin in eight months was 3.9 per cent.

The company shares (HoSE: MWG) fell 2 per cent to end Monday at VND124,000 ($5.33) per share, having totalled a four-month increase of 41.5 per cent. — VNS

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