In a filing with Bursa Malaysia, the convenience store owner and operator said net profit fell by about a third, or 32%, to RM9.52mil in Q4, as selling and distribution expenses increased by RM9mil from a year earlier. The higher expenses were mainly caused by new store expansion, resulting in higher staff cost, rental cost, store depreciation expense and utility cost. In addition, the company said, the increase in the minimum wage effective July 1, 2016, continued to significantly impact selling and distribution expenses. Net profit for the financial year slid 6.5% to RM52.17mil due to a RM32.8mil jump in selling and distribution expenses, hit by the same factors that were cited for the lower Q4 profit. 7-Eleven Malaysia, listed in 2014, is the country’s largest convenience store chain with about 2,000 stores nationwide.

Source: The Star February 27, 2017 21:56 UTC