Seven & i Holdings (TSE: 3382) 1H20 Results: Operating Income Grows in Both Domestic and Overseas Convenience Stores

Executive Summary

• In 1H20, ended August 31, 2019, Seven & i reported a 1.9% year-over-year decline in net sales. However, the company’s EPS increased 9.2% to ¥125.04.
• The company’s overseas convenience store business witnessed strong performance, with operating income increasing 11.8% year over year. Domestic convenience store operations recorded an operating income growth of 3.9%.
• Superstore Ito-Yokado saw operating income declining 72.7% year over year. Department store chain Sogo & Seibu posted an operating loss of ¥1.1 billion, versus an operating loss of ¥292 million in 1H19.
• Seven & i reiterated its operating income guidance for FY20, yet altered its forecast of total revenues to decline by 1.5% year over year.