KUALA LUMPUR: 99 Speed Mart Retail Holdings Bhd's net profit fell 3.5 per cent to RM107.16 million in the third quarter ended Sept 30, 2024 (3Q24) from RM111.06 million a year ago, dragged mainly by one-off expenses totalling RM23.2 million from the initial public offering listing, and special bonuses for employees.
Quarterly revenue rose 8.8 per cent to RM2.55 billion from RM2.34 billion a year ago, primarily driven by the expansion of the outlets network.
The group grew its outlets by net addition of 51 new outlets in 3Q24, bringing the total to 2,697 outlets as of Sept 30, 2024.
Correspondingly, total sales transactions rose by 11.9 per cent to 120.2 million transactions in 3Q24 compared to 3Q23.
Earnings per share came in lower at 1.28 sen compared to 1.32 sen in 3Q23, according to its filing to Bursa Malaysia today.
The company did not declare any dividend for the quarter.
For the first nine months of FY24, 99 Speed Mart's net profit rose 24.6 per cent to RM365.85 million from RM293.69 million a year ago, while revenue increased 8.7 per cent to RM7.39 billion from RM6.8 billion.
99 Holdings' founder and chief executive officer Lee Thiam Wah said the company's commitment to expand its outlet network remains unwavering.
"In the first nine months alone, we have added 177 new outlets, bringing our total outlets to 2,697 as of Sept 30, 2024. "This marks a significant step towards our target of 3,000 outlets by 2025," he said in a separate statement.
Lee said the company's online bulk sales platform is also making promising contributions to the company.
"We have successfully expanded our bulk sales online platform to the northern region in November and we are actively expanding its coverage to serve a broader area."
"Guided by our core values, our growth strategy focuses on delivering affordable essentials and creating lasting value for our communities and stakeholders."
"With strategic growth initiatives underway, I am confident we will continue to drive sustainable and long-term success," he added.