Bangkok--May 17--Aziam Burson-Marsteller
Big C today announced encouraging profit growth for Q1 2005 as its 'truly Cheap' promotion program and ongoing store development have attracted more loyal customers. Sales reached their target and rental income increased with net profit increasing by 35% in comparison to the same period last year.
Ms Rumpa Kumhomreun, CFO & Vice President, Accounting & Finance, Big C
Supercenter PLC disclosed the operating results of the company and its subsidiaries for Q1 2005 which reflected a net profit of Baht 528 million, compared to last year's net profit of Baht 392 million, representing an increase of 35 %. These results are consistent with the company's projections.
"These successes confirm continued customer satisfaction with Big C,
both in terms of brand acceptance and the entire shopping experience that we offer. In Q1 2005 Big C was very successful in delivering the very best value to customers in terms of our favorable pricing strategy, diverse marketing activities aimed at highlighting a wide variety of quality products at low prices and store development that is consistently modern, progressive and appealing for customers. Overall these activities led to increased consumer spending as well as steady increases in rental income from third party operators."
The company and its subsidiaries recorded revenue of Baht 13,765.6 million in Q1 2005, representing an increase of Baht 1,372 million or 11.07% in comparison to the same period last year. Strong sales growth was recorded in all Big C stores and was not negatively affected by higher oil prices which often make people more selective with their shopping habits. Big C remains committed to its 'Truly Cheap' promotional campaign which involves examining product items every day to make sure that Big C products are always cheaper than its competitors.
At the same time Big C will continue to implement a wide range of promotional events offering products at special, discounted prices.
"Even though there were many negative external factors affecting the economy in the first quarter of this year, Big C was not affected by these items. Big C and its suppliers and partners sell products at special prices which is consistent with a policy outlined by the Ministry of Commerce to freeze price of all essential items. Customers who shop at Big C welcome the wide range of low cost, high quality products that are available to them all the time," concluded Ms Rumpa.
The company and its subsidiaries recorded net sales during the first quarter of 2005 of Baht 12,156.6 million, representing an increase of Baht 1,151 million or 10.5% over the same period last year. Rental and service Income from tenants was Baht 484 million representing an increase of Baht 35 million or 7.8%. Other income was Baht 1,125 million, representing an increase of Baht 186 million or 19%.
'In April 2005 Big C launched a new Omyai store in Nakorn Pathom. It has
been very successful to date and we expect sales to continue to be strong. We are confident that we can maintain our current sales growth and other income growth nationwide, and we will continue to invest in three new stores including Petchkasem, Ekmai and Suka Piban 3 this year to further expand our revenue base," said Ms Rumpa.
Big C Supercenter PCL (BIGC) founded in 1993, is a retail consumer good
trade operator under the name of Big C Supercenter. It offers a wide variety of products at the most competitive prices under the slogan
"More Than Just Low Prices" to maximize the highest value for customers
at its 40 store nationwide. For further information about Big C Supercenter, visit our Web site at www.bigc.co.th.
For further information, please contact:
Satida Sritunyathorn or Waraporn Somboonwanna
Aziam Burson-Marsteller
Tel. 0 2252 9871 End.