11st Reduces Deficit by About Half... Operating Loss of 26.7 Billion KRW

Securing Profitability in Open Market Business
Sales Increased by 39% to 196.9 Billion KRW

11st reduced its operating loss by nearly half, thanks to securing profitability in its open market business.

According to the SK Square semi-annual report disclosed on the 14th, 11st's operating loss in the second quarter of this year was 26.7 billion KRW, a 40.7% decrease compared to the same period last year. During the same period, sales increased by 38.9% to 196.9 billion KRW, and net loss decreased by 49.3% to 26.1 billion KRW. Overall, performance improvement is clear.

Jeong Anjeong, president of 11st, said, "With the monthly break-even point of the open market business achieved in June, we posted significantly improved operating results in the second quarter compared to the previous year," adding, "Based on the stable profit structure established in the first half, we plan to drive external growth of the new 11st that customers visit more frequently and use repeatedly in the second half."

11st's next-day delivery service, 'Shooting Delivery,' began full-scale promotions in the second quarter. From mid-May to the end of July, the 'Tingbatne' campaign was conducted with nine popular brands with high customer loyalty, including Coca-Cola, CJ CheilJedang, LG Household & Health Care, Kellogg's, Aekyung, Dongwon, Daesang, Nongshim, and Maeil Dairies.

As a result, approximately 830,000 customers used Shooting Delivery daily based on unique visitors (UV), and over 2 million customers purchased Shooting Delivery products during the roughly three-month period. Among them, the company explained that 320,000 were new customers who purchased Shooting Delivery products for the first time.

11st plans to maintain an operational policy focused on managing profitability while expanding its business and continuing investments for the growth of its retail business, based on securing profitability in the open market business. In addition, it intends to strengthen support policies for sellers to enhance 11st's product and price competitiveness.