Bangkok--27 Feb--Aziam Burson-Marsteller
Big C reported that 2008 net profit increased by 14% over last year. Other financial highlights included:
- Robust growth in sales +9.2% and rental income +15.4%
- Accelerated expansion with 12 store openings (versus 8 initially planned)
- High operating profit margin : 5.9% of sales
- High return on capital employed: 13.8%
In the 2008 operating results for Big C Supercenter PLC and its subsidiaries announced recently, the Company had a net profit of 2,852 million baht compared to a net profit of 2,502 million baht for the same period last year, representing an increase of 349 million baht or 14%.
Big C net sales for 2008 amounted to 67,292 million baht, or an increase of 5,692 million baht or 9.2%. The significant increase in sales was supported by the ongoing implementation of impactful marketing campaigns and the successful expansion of the Company’s customer base due to the addition of new stores. Income from rental and services in 2008 was 3,148 million baht which represented an increase of 421 million baht or 15.4% over the same period last year due to the new store expansion.
“Last year Big C was very successful. We invested about 5,500 million baht in the company’s on-going expansion program, which exceeded expectations in 2008 with the opening of 12 new stores versus our target of 8 stores. The new stores are located in Ayuthaya, Ban Pong, Sukhothai, Chaiyaphum, Phetchabun, Krabi, Navanakorn, Rangsit Klong 6, Yasothorn, Sa Kaew, Varin Chamrap and Mahasarakham. We also completed renovation of 4 existing stores. Besides store expansion, Big C arranged marketing promotions and campaigns to stimulate sales, resulting in growth that was on target even though we faced a tough economy and more intense competition,” said Mr. Yves Bernard Braibant, Chief Executive Officer & President, Big C Supercenter PLC.
“In the current economic situation, our image of price leader increased consumer confidence in Big C and led them to shop at Big C as we sell products for daily life — both from name brands and from our own house brands. Big C also implemented a strategy to increase operational efficiency and management effectiveness with further supported our financial performance.”
“In 2009 Big C will continue to focus on price and CRM strategy to maintain our customer relationships including the Shop Call Free campaign with all mobile networks and news updates via SMS to give discount to members. The objective is to build credibility and satisfaction that makes customers want to shop at Big C. Big C is also working to control operational costs, particularly transportation and logistics. We expect our performance in 2009 will be in line with our current results in our targets,” concluded Yves.
Big C Supercenter PCL (BIGC), founded in 1993, is a retail consumer goods trade operator trading 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 66 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 Hongsinunt Somboonwanna
Aziam Burson-Marsteller
Tel. 0 2252 9871