99 Speedmart is a leading convenience store chain in Malaysia, widely recognized for offering a diverse range of daily necessities at affordable prices. Established in 1987 by Lee Thiam Wah, 99 Speedmart started as a small sundry store in Klang, Selangor, and has since grown into a nationwide retail powerhouse with over 2,500 outlets across the country.
The brand’s slogan, “NEAR n’ SAVE,” reflects its mission to provide customers with convenient access to essential goods while maintaining competitive pricing. Known for its compact, neighborhood-friendly store format, 99 Speedmart caters to a wide customer base, including urban and rural communities. Its stores are strategically located in residential areas, making them a go-to destination for quick shopping trips.
99 Speedmart’s success lies in its efficient supply chain, robust distribution network, and focus on customer satisfaction. The company continuously expands its presence, opening hundreds of new outlets annually to meet growing demand. It also offers a wide variety of products, from groceries and household items to personal care products, ensuring a comprehensive shopping experience.
As a trusted household name, 99 Speedmart remains committed to innovation and accessibility, playing a significant role in Malaysia’s retail landscape and contributing to the convenience of daily living for millions of customers.
KUALA LUMPUR: Leading Malaysian retail chain 99 Speed Mart Retail Holdings Bhd reported a slight dip in its third-quarter net profit for the period ending Sept 30, 2024 (3Q 2024), with earnings declining to RM107.16 million, down from RM111.05 million in 3Q 2023.
Despite the drop in net profit, the company achieved an 8.8% surge in revenue, reaching RM2.55 billion, compared to RM2.34 billion in the same quarter last year, driven primarily by its rapidly growing network of outlets.
Expanding Outlets and Sales Transactions
During the quarter, 99 Speed Mart added 51 new outlets, bringing its total network to 2,697 outlets as of Sept 30, 2024.
Key Highlights for 3Q 2024:
- Sales transactions: Increased by 11.9% y-o-y to 120.2 million transactions.
- Average basket size: Declined by 2.8%, dropping to RM21.20.
The company also highlighted the success of its bulk sales online platform, launched in December 2023. This platform expanded to the southern region of Peninsular Malaysia in July 2024, contributing an additional RM7.4 million in revenue for the quarter.
Nine-Month Performance
For the nine months ending Sept 30, 2024 (9M 2024):
- Net profit: Rose to RM365.84 million, up from RM293.69 million in 9M 2023.
- Revenue: Increased to RM7.39 billion, compared to RM6.80 billion in the same period last year.
IPO and Strategic Growth
In September 2024, 99 Speed Mart made its debut on the Malaysian stock market, raising RM2.36 billion (approximately USD 542.8 million) in the largest domestic initial public offering (IPO) in seven years.
The funds are earmarked for:
- Opening 250 new outlets annually, with a goal of reaching 3,000 outlets by 2027.
- Establishing new distribution centers across Malaysia to enhance supply chain efficiency and support competitive pricing.
Outlook
99 Speed Mart remains focused on nationwide expansion, operational efficiency, and leveraging digital platforms to sustain its growth. Despite challenges like a reduced average basket size, the company’s strategy of innovation, customer satisfaction, and efficient operations underscores its resilience in Malaysia’s competitive retail sector.
With a robust infrastructure and a mission to provide affordable essentials under its "NEAR n' SAVE" slogan, 99 Speed Mart continues to cement its role as a key player in Malaysia’s retail industry.
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