Japan’s Lawson, FamilyMart Post Record Operating Profits

Tokyo, April 17 (Jiji Press)–Major Japanese convenience store operators Lawson Inc. and FamilyMart Co. have reported record operating profits for the year that ended in February, while Seven & i Holdings Co. logged only modest growth. According to their consolidated financial results, Lawson saw its core operating profit rise 7.0 pct from the previous year to 112.3 billion yen, and FamilyMart’s core operating profit jumped 17.9 pct to 100.2 billion yen. In contrast, Seven & i, the parent of Seven-Eleven Japan Co., logged only a 0.5 pct increase in operating profit amid decreasing customer traffic. Lawson enjoyed brisk sales thanks to its successful campaign to supersize some food and sweets products without raising their prices that was launched to mark last year’s 50th anniversary of its founding. The company was also buoyed by strong movie ticket sales, including for blockbuster “Kokuho.” Efficient product ordering using artificial intelligence also contributed to cost reductions, leading to record highs in operating revenue and net profit. FamilyMart reported a decline in net profit, after the previous year’s substantial extraordinary gain from Chinese business restructuring. Still, it performed well with discount campaigns and strong sales of rice balls, promoted by advertisements featuring Los Angeles Dodgers superstar Shohei Ohtani. At Seven & i’s convenience store operations, revenue fell in North America on lower gasoline sales. In Japan, profits decreased due to rising raw materials and labor costs. Customer numbers dropped 4.3 pct in North America and 0.9 pct in Japan. END [Copyright The Jiji Press, Ltd.]