Business Daily Media

Men's Weekly

.

Best Mart 360 Interim Results, Revenue and net profit increased by 20.0% and 34.8% YoY

Proposed an interim dividend of HK8.0 cents per share

Highlights:

  • Revenue increased by 20.0% to approximately HK$1,237.8 million.
  • Gross profit increased by 22.4% to approximately HK$446.3 million, gross profit margin increased by 0.8 percentage points to 36.1%.
  • Profit attributable to owners of the Company increased by 34.8% to approximately HK$110.6 million.
  • As at 30 September 2023, the Group operated a total of 165 chain retail stores, representing an increase of 21 stores as compared with the Corresponding Period Last Year
  • Basic earnings per share was HK11.1 cents. The Board recommended the payment of interim dividend of HK8.0 cents per share.

Financial Highlights:


For the 6 months ended 30 Sep
HK$'000
2023
2022
Change
Revenue
1,237,781
1,031,896
+20.0%
Gross profit
446,265
364,712
+22.4%
Gross profit margin
36.1%
35.3%
+0.8 p.p.
Profit attributable to owners of the Company
110,636
82,049
+34.8%
Basic earnings per share (HK cents)
11.1
8.2
+34.8%
Interim dividend per share (HK cents)
8.0
8.0
-

HONG KONG SAR - Media OutReach - 28 November 2023 - Best Mart 360 Holdings Limited ("Best Mart 360" or the "Company", together with its subsidiaries, the "Group"; stock code: 2360.HK), a leading leisure food retailer in Hong Kong Special Administrative Region ("Hong Kong"), announced its interim results for the six months ended 30 September 2023 ("the Period under Review"). During the Period under Review, the revenue recorded by the Group amounted to approximately HK$1,237,781,000 representing an increase of approximately 20.0% as compared to approximately HK$1,031,896,000 for the six months ended 30 September 2022 (the "Corresponding Period Last Year"). Profit attributable to owners of the Company amounted to approximately HK$110,636,000 during the Period under Review (for the six-month period ended 30 September 2022: approximately HK$82,049,000), representing the period-on-period increase of approximately 34.8%.

During the Period under Review, gross profit and gross profit margin of the Group were approximately HK$446,265,000 and 36.1%, representing an increase of 22.4% and 0.8 percentage points as compared to gross profits of approximately HK$364,712,000 and gross profit margin of approximately 35.3% for the Corresponding Period Last Year, respectively. The increase was underpinned by the Group's steady expansion strategy, increase presence in strategic store locations, apt adjustment of sales tactics coupled with the optimization of product mix during the Period under Review.

During the Period under Review, basic earnings per share of the Group was approximately HK11.1 cents (for the six months ended 30 September 2022: HK8.2 cents). The Board recommended the payment of interim dividend of HK8.0 cents per share.

BUSINESS REVIEW

CHAIN RETAIL STORES

As at 30 September 2023, the Group operated a total of 165 chain retail stores (30 September 2022: 144 stores), including 156 chain retail stores, 7 chain retail stores and 2 chain retail stores in Hong Kong, Macau Special Administrative Region ("Macau") and the People's Republic of China (the "PRC") , respectively (30 September 2022: 136 stores, 6 stores and 2 stores, respectively). During the Period under Review, the Group followed our store optimisation strategies, which include expanding store spaces, providing better shopping environment, and incorporating the in-store display with our diversified product mix to enhance the brand image. The Group is persevering its search for stores in various districts to extend its retail coverage.

The Group launched a new global wine and food shop "FoodVille" in 2021, which focuses on medium-to-high-end global quality food products, including fine wines from around the world, premium chocolates, health food, frozen food, western sauces and ingredients, etc., in order to cater to the market's pursuit of a high quality of life and to broaden the Company's customer bases. As at 30 September 2023, the Group operated 6 shops (30 September 2022: 3 shops) under the relevant retail brands.

For the six months ended 30 September 2023, the ratio of rental expense (on cash basis) to sales revenue of the Group's retail stores was approximately 9.8% (for the six months ended 30 September 2022: approximately 10.4%), representing a decrease of approximately 0.6 percentage point as compared with the Corresponding Period Last Year.

THE PRODUCTS

During the Period under Review, the Group adhered to its global procurement policy by sourcing a broad spectrum of products worldwide to provide a diversified range of choices for customers. For the six months ended 30 September 2023, the Group has sold more than 1,140 brands and over 3,400 SKUs of products in total, offering customers a diversified range of choices. The Group continues to optimise its product portfolio, out with the old in order to make room for the latest products and flavours to stay abreast with change in customer demands.

In order to enrich our product mix, enhance the effectiveness of control over product qualities and supplies and increase profitability, the Group continued to actively develop its private label products during the period, recording a net addition of 183 SKUs. For the six months ended 30 September 2023, sales derived from private label products amounted to approximately HK$192,986,000 (for the six months ended 30 September 2022: approximately HK$151,064,000), representing an increase of approximately 27.8% as compared with the Corresponding Period Last Year and accounted for approximately 15.6% of the Group's overall revenue for the Period under Review. The Group has a total of 11 private labels and approximately 214 SKUs of products during the Period under Review, including masks, canned Chinese delicacies, cereals, milk, honey, nuts and dried fruits as well as a wide range of leisure food products.

MEMBERSHIP SCHEME AND MARKETING & PROMOTIONAL ACTIVITIES

As at 30 September 2023, the number of the Group's registered fans and members was 2,087,700 (30 September 2022: approximately 1,931,400), representing a period-on-period growth of approximately 8.1%. The number of mobile app members has reached approximately 980,000 as at 30 September 2023, representing an increase of approximately 20.2% from approximately 815,100 of the Corresponding Period Last Year.

This year marks the 10th anniversary of the Group's establishment. The Group conducted various marketing and promotional activities including a series of special offers for selected quality products to express our gratitude for our customers' support over the years, which greatly increased the discussions about the Group in the market.

EMPLOYEES

As at 30 September 2023, the number of full-time and part-time employees of the Group was 1,226 (30 September 2022: 1,167). In order to retain staff and to suitably incentivise employees of the Group so as to increase staff cohesion and loyalty, the Group regularly reviews and updates its employee benefit plans and remuneration packages with reference to labour market supply and labour cost trend, as well as individual performance. Staff costs (excluding Directors' emoluments) of the Group for the six months ended 30 September 2023 accounted for approximately 9.1% of revenue (for the six months ended 30 September 2022: approximately 9.4%) representing a decrease of approximately 0.3 percentage point as compared with the Corresponding Period Last Year.

OUTLOOK

Early this year, the Hong Kong Government formally relaxed the restrictions on the entry of tourists as well as the local anti-epidemic measures, encouraging the recovery of Hong Kong's tourism and retail industries and revitalising the business market ambiance. The Group, carrying a prudent and optimistic outlook, will continue to explore different development opportunities, closely monitor market changes and make prompt adjustments to its business strategies, so as to maximise returns for shareholders and investors.

Looking ahead, while the pace of global economic recovery is expected to slow down due to the high interest rate environment and geopolitical tensions, it is believed that the Hong Kong Government's various measures will bring some support to the local consumer market. The Group plans to pragmatically expand our retail network, with a target of achieving a net increase of 15–20 retail stores annually to cater the diversified demands of different customer segments for quality food products under our "dual-brand" model. The "Best Mart 360°" brand will primarily focus on mass market, while the "FoodVille" brand will target the medium-to-high-end market. Leveraging the diversified product structure and shop atmosphere, the Group will strengthen the two brands' differentiation and thereby attracting a broad spectrum of customers.

The Group completed the introduction of China Merchants Hoi Tung Trading Company Limited (the "CMHT") as a major shareholder during the Period Under Review. The Board believes that with the substantial strategic support of CMHT, the Group's business development will be further accelerated, promoting sustainable growth and synergy maximisation. The Group will continue to uphold its business mission in offering products with the "Best Quality" and "Best Price" to its customers. Leveraging the extensive cooperation network and resources of CMHT, the Group will endeavour to improve its supply chain, optimise its sales categories and maintain its price competitiveness. Furthermore, the Group will proactively source a diversified range of food products worldwide as well as step up the development of its private label products, aiming not only to satisfy market demand for daily necessities but also to provide customers with a broader range of choices.

On the other hand, through CMHT's robust network of food distributors, the Group will continue to develop its business-to-business (B2B) segment by providing a more diversified range of products to other retailers in Hong Kong, online stores and even merchants or enterprises in overseas markets, enriching the Group's streams of revenue and potential customer base.
Hashtag: #BestMart360

The issuer is solely responsible for the content of this announcement.

Best Mart 360 Holdings Limited

Best Mart 360 Holdings Limited, mainly operates chain retail stores under the brand "Best Mart 360˚". It offers wide collection of imported prepackaged leisure foods and other grocery products, principally from overseas. The Group's business objective is to offer "Best Quality" and "Best Price" products to customers through continuous efforts on global procurement with a mission to provide comfortable shopping environment and pleasurable shopping experience to customers. As at 30 September 2023, the Group operates 165 retail stores that are strategically located at 18 districts in Hong Kong, Macau and Mainland China. In addition, the Group's new global gourmet store, "FoodVille", was officially opened in September 2021, which mainly provides globally sourced medium-to-high-end quality food products.

News from Asia

Etiqa Insurance Singapore Launches "Live Ready With You" Brand Campaign that brings Readiness to Life in Uncertain Times

Etiqa reaffirms its commitment to being there for Singaporeans during life’s unexpected moments, inspired by real-life experiences and emotional storiesSINGAPORE - Media OutReach Newswire - 15 Sep...

OROJIN™️ Makes Global Debut at BIOHK 2025 to Lead The Future of Preventive Medicine

Breakthrough Chewable Chlorogenic Acid Tablet Designed To Support Immunity, Cellular Vitality and Metabolism.HONG KONG SAR - Media OutReach Newswire - 15 September 2025 - OROJIN™️, the breakth...

Finex Trader Wins BYD M6 in Get X2 Promo

JAKARTA, INDONESIA - Media OutReach Newswire - 15 September 2025 - Finex, an acclaimed Indonesian broker, announces the grand winner of the Get X2 promo, a 2025 New Year’s promotion celebrating s...

CIFTIS rides new wave of cultural consumption

BEIJING, CHINA - Media OutReach Newswire - 15 September 2025 - The culture and tourism services exhibition hall was among the most vibrant venues at the 2025 China International Fair for Trade in ...

China's innovative service sector unlocks fresh int'l cooperation potential, says Australian accounting expert

BEIJING, CHINA - Media OutReach Newswire - 15 September 2025 - The transition of China's service sector toward innovation and cutting-edge technologies is opening new avenues for global cooperatio...

AI innovation injects new momentum into China's services trade

BEIJING, CHINA - Media OutReach Newswire - 15 September 2025 - Amid the buzz of the ongoing 2025 China International Fair for Trade in Services (CIFTIS), a robot dog is stealing the show...

Services trade emerges as key engine for China's high-quality development

BEIJING, CHINA - Media OutReach Newswire - 15 September 2025 - The services trade is becoming an increasingly crucial engine for China's economic growth and has substantial potential, driven by te...

Jennings Unveils Its Experience Center: A Tactile, Design-Driven Approach to Laminate Selection

SINGAPORE - Media OutReach Newswire - 15 September 2025 - Jennings Trading Enterprise Pte Ltd has officially opened its new Experience Center at Kranji Green, Singapore. More than just a showcas...

China advances services trade, unlocking opportunities for global collaboration

BEIJING, CHINA - Media OutReach Newswire - 15 September 2025 - Amid global trade headwinds, China is sending fresh signals that it will further advance trade in services, providing strong momentum...

Services trade surges as China embraces smart technologies, openness

BEIJING, CHINA - Media OutReach Newswire - 15 September 2025 - In Shougang Park, a former ironworks site in western Beijing, new technologies from AI to cloud computing and green innovation are on...

Manny Shah: Is your business disappearing from Google? You’re not alone

Small business owners across Australia are panicking as their websites vanish from Google’s front pages overnight. According to Manny Shah, cofounde...

MR Roads named Queensland Finalist in the 2025 Telstra Best of Business Awards

MR Roads, co-founded by Daniel Mikus and James Rolph, has been announced as a Queensland finalist in the prestigious 2025 Telstra Best of Business...

AWS research shows strong AI adoption momentum in Australia, with startups outpacing large enterprises in innovation

Amazon Web Services (AWS), an Amazon.com company, released new research revealing that while artificial intelligence (AI) adoption continues to acce...

Changing the World One Bite At a Time: IKU Turns 40

One of Australia’s first plant-based, chef-led eateries and now ready meal provider IKU is celebrating its 40 year anniversary with the business e...

Three generations marking 45 years in hot-air balloons

Australia’s leading hot-air balloon company is celebrating 45 years in the sky and its 700,000th passenger, driven by the passion of father-son du...

Workplace DMs, Reinvented: Deputy Messaging, Purpose-Built For Shift-Based Teams

Deputy, the global people platform for shift-based businesses, has launched Deputy Messaging, a fully integrated, real-time communication tool designe...

Sell by LayBy