KUALA LUMPUR: 99 Speed Mart Retail Holdings Bhd's net profit for the second quarter ended June 30, 2024 (2Q24) rose by 66.3 per cent to RM125.5 million mainly due to higher sales from new outlets and bulk sales e-commerce platform.
An upward adjustment of distribution centre fee rates charged to suppliers for the handling of products also helped.
It came into effect in the first quarter ended March 31, 2024.
Revenue also rose 8.2 per cent to RM2.4 billion in 2Q24.
In a statement, the country's largest home-grown mini market chain retailer said its total sales transactions also rose by 12.9 per cent to 113.8 million transactions, partially offset by a lower average basket size, which reduced by 4.2 per cent to RM21.30.
For the six-months period ended June 30, 2024 (1H24), 99 Speed Mart's net profit grew by 41.6 per cent to RM258.7 million. Revenue rose by 8.6 per cent, registering a total of RM4.8 billion for the period.
99 Speed Mart founder and chief executive officer Lee Thiam Wah said the group's strong financial performance, driven by strategic outlet expansion and successful launch of its e-commerce bulk sales platform.
He added that this underscores the group's commitment to provide greater convenience and value to its customers.
Looking ahead, Lee said its upcoming listing on the Main Market of Bursa Securities represents a pivotal milestone for the group as it continue to drive sustainable growth and deliver long-termvalue for its stakeholders.
"With the listing, we are excited about the new opportunities it will unlock, enabling us to accelerate our growth trajectory.
"The proceeds from the listing will be strategically utilised to expand our market presence and solidify our market-leading position in the mini-market industry in Malaysia," he said.
99 Speed Mart is scheduled to be listed on the Main Market of Bursa Malaysia on Sept 9, 2024 with a market capitalisation of about RM13.9 billion.
This is based on the final retail price of RM1.65 and its enlarged share capital of 8.4 billion shares upon listing.