Helped by the gradual recovery of in-store traffic and an acceleration in its digital business, Pou Sheng Intl. reported a 71.0 percent increase in Q1 operating income to yuan renminbi 332.7 million (€43.8m) from RMB 194.5 million as the operating profit margin increased by 220 basis points to 5.7 percent from 3.5 percent.
Gross margin slipped by 190 basis points to 33.6 percent from 35.5 percent. During the period, the group recognized a tax-deferred asset related to lease liabilities of RMB 703.8 million (€92.6m).
Net profit attributable to owners of the company rose by 116 percent to RMB 220.0 million (€29.0m) for the period ended March 31. First quarter revenues jumped by 6.5 percent year over year to RMB 5,837.6 million (€768.4m) from RMB 5,480.6 million.
