Sheng Siong Group, the third-largest supermarket chain in Singapore, has reported strong profit and revenue growth for its last fiscal year.
For the year ending 31 December 2016, net profit rose by 10.4% to S$62.7m, while revenue was up 4.2% to S$796.7m, on like-for-like growth of 0.2%.
The group said it was pleased with the results, despite the impact on margins by an increase in staff numbers and investments in upgrading its stores. However, gross margin rose by 100bps to 25.7%, helped by higher rebates from suppliers.
The group said it expects the local market conditions to remain weak, adding that it might initiate major revamps of some of its older stores, which would affect sales.
Sheng Siong opened four new stores in 2016, taking its total to 43 outlets.