Mobile World records 4% profit rise in 9 months

By Tat Dat October 30, 2022 | 01:58 am PT

A Bach Hoa Xanh grocery store in HCMC. Photo by VnExpress/Tat Dat

Electronics retail giant Mobile World recorded a Jan-Sept profit of VND3.48 trillion (US$140.14 million), up around 4% year-on-year, with revenues surging more than 18% to VND102 trillion.

While its revenue was almost on track, the profit was slightly more than 50% of the annual target.

Revenues from the corporation’s chain of grocery stores Bach Hoa Xanh were down 12% from the same period in 2021, when it was a major supplier amidst the Covid lockdown and closure of traditional wet markets.

The corporation has shut down around 400 Bach Hoa Xanh stores in recent months as part of efforts to increase store performance and make the chain profitable by the end of this year. It has around 1,700 stores now.

Viet Dragon Securities said in an August report that Mobile World might not be able to meet its profit target this year due to losses incurred by Bach Hoa Xanh.

Bao Viet Securities Joint Stock Company has estimated that in the second quarter, the corporation had made around VND264 billion losses from closing its Bach Hoa Xanh stores and another VND866 billion from operating and restructuring the rest.