Revenue for the group grew 4.5% y-o-y driven by the opening of six new stores and two comparable new stores opened in FY2023, and improved performances of existing stores.

Sheng Siong Group has reported earnings of $137.5 million for FY2024 ended Dec 31, 2024, up 2.9% y-o-y. For the 2HFY2024, earnings decreased 1% y-o-y to $67.6 million.

Earnings per share for FY2024 came in at 9.15 cents per share.

For the reporting period FY2024, revenue for the group grew 4.5% y-o-y to US$1.43 billion, driven by the opening of six new stores in FY2024, and two comparable new stores opened in FY2023 in Singapore, and the improved performance of the existing stores. 

Revenue for 2HFY2024 came in 5.5% y-o-y higher at $714.5 million.

In line with revenue, gross profit grew by 6.1% in FY2024 to $435.5 million with a slight increase in the gross margin of 0.5 ppts to 30.5%. This was primarily attributed to the improvement in sales mix that helped offset elevated business costs.

Administrative expenses increased by 17.9% to $58.5 million in FY2024, while selling and distribution expenses increased by 6.8% to $236.5 million. They are primarily due to higher staff costs from increased variable bonuses, reflected by our stronger financial performance, enhanced employment benefits, and a larger workforce to support new store openings.

In FY2024, cash flow generated from operating activities increased by 23.7% y-o-y to $219.0 million, mainly due to higher vendor payments for working capital requirements in FY2023. 

The group ended the year with cash and cash equivalents balance of $353.4 million as at Dec 31, 2024, marking an 8.9% increase from $324.4 million at the end of FY2023.

The board of directors has proposed a final dividend of 3.20 cents per share, and combined with the interim dividend of 3.20 cents per share, the total dividend for FY2024 amounts to 6.40 cents per share. Payout ratio remains at 70%.

Although Singapore’s overall retail sales index declined by 0.7% and 2.9% y-o-y in November and December 2024, the supermarket and hypermarket sector continued to grow, recording y-o-y increases of 2.0% and 0.8%, respectively. 

Looking ahead to 2025, the sector is expected to maintain its upward trajectory, driven by broader economic and consumer trends.

“Despite challenges in the macroeconomic and trade environment, our diversified supply chain allows us to manage costs effectively while maintaining a wide and reliable product selection for customers. We continue to focus on enhancing our margins by refining the sales mix, improving cost efficiencies, and strategically growing our store footprint to serve communities better and drive sustainable growth,” says Lim Hock Chee, Sheng Siong’s group CEO. 

“In line with our expansion strategy, we have opened 8 new stores in Singapore as of today since the beginning of FY2024, along with the launch of our 6th Store in Kunming, China. Additionally, we are awaiting the tender results for 8 stores by HDB. With a stable HDB housing supply pipeline, we remain confident in the future expansion opportunities to strengthen our presence across Singapore.”

Shares in Sheng Siong closed 2 cents up or 1.227% higher at $1.65.