Decline in Consumer Sentiment... Standalone Sales Decrease
Hansome and Hyundai Futurenet Incorporated
Consolidated Sales and Operating Profit Surge
Last year, both sales and operating profit of Hyundai Home Shopping increased. This was due to the newly consolidated subsidiaries Hansome and Hyundai Futurenet.
According to the Financial Supervisory Service's electronic disclosure system on the 7th, Hyundai Home Shopping's operating profit (provisional) last year was 130.1 billion KRW on a consolidated basis, up 117.1% compared to the same period last year. During the same period, sales amounted to 3.8535 trillion KRW, an increase of 86.7%.
In the fourth quarter of last year, operating profit was 20.4 billion KRW, up 134.8% year-on-year, and sales were 1.0049 trillion KRW, up 85.3%.
Excluding subsidiaries, Hyundai Home Shopping's standalone operating profit last year was 61.8 billion KRW, up 37.7% compared to the same period last year. Sales during the same period were 1.0926 trillion KRW, an increase of 1.7%.
On a standalone basis, operating profit in the fourth quarter last year was 10.9 billion KRW, up 12.8%. However, sales during the same period decreased by 7.8% year-on-year to 265.9 billion KRW.
Earlier, Hyundai Home Shopping incorporated Hansome and Hyundai Futurenet as subsidiaries in January last year. Hyundai L&C, Hansome, and Hyundai Futurenet are subsidiaries of Hyundai Home Shopping.
A Hyundai Home Shopping official said, "Although standalone sales of home shopping decreased compared to the previous year due to weakened consumer sentiment, operating profit increased due to the expansion of high-margin health food and beauty product categories and cost efficiency." He added, "On a consolidated basis, sales and operating profit significantly increased as Hansome and Hyundai Futurenet were newly consolidated as subsidiaries under accounting standards."
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