By Kosaku Narioka


Seven & i Holdings reported a drop in first-quarter net profit due to weaker earnings in various segments, especially in its overseas convenience-store business.

The Japanese owner of 7-Eleven and other retail stores said Thursday that net profit fell 49% from a year earlier to 21.39 billion yen ($132.2 million) for the three months ended May 31. That missed the estimate of Y41.73 billion in a poll of analysts by data provider Visible Alpha.

Revenue increased 3.2% from a year earlier to Y2.735 trillion.

Operating profit for its overseas convenience-store business fell 79% to Y4.47 billion and that of its domestic convenience-store business declined 4.4% to Y61.25 billion. Operating profit for its supermarket business dropped 35% to Y2.15 billion.

Seven & i kept its earnings forecasts unchanged for the fiscal year ending February 2025. It continues to expect that net profit will climb 30% to Y293.00 billion and that revenue will decrease 2.0% to Y11.246 trillion.

Seven & i has been taking steps to focus on its convenience-store operations and restructure other businesses.

The 7-Eleven owner in April acquired most of U.S. fuel distributor Sunoco's convenience-store and gasoline retail businesses for $950 million in a bid to pursue growth in the North American market.

The company is considering an initial public offering for its supermarket business. Seven & i sold its Sogo & Seibu department-store business to Fortress Investment Group last year.


Write to Kosaku Narioka at kosaku.narioka@wsj.com


(END) Dow Jones Newswires

07-11-24 0246ET