Parkson expects softer 2Q26 retail performance amid cautious consumer spending


KUALA LUMPUR: Parkson Holdings Bhd anticipates a seasonally softer performance in its retailing operations for the second quarter ending June 30, 2026 (2Q26) in the absence of major festivities.

“Given the challenging retail operating environment, the group remains focused on enhancing store and operational productivity, improving margins, managing costs prudently, and rationalising operations, while continuing to explore opportunities to expand its store network,” the retailer said in a filing with Bursa Malaysia.

Parkson’s net profit jumped 37.4% to RM41.4mil, or earnings per share of 3.60 sen in 1Q26 compared with RM30.1mil, or 2.62 sen in the year-ago quarter.

Revenue, however, declined 10% to RM692.8mil against RM769.6mil a year prior.

Parkson said its retailing division recorded revenue of RM656mil in 1Q26, down 11% year-on-year, while operating profit rose 2% to RM144mil.

“The group's retailing operations in Malaysia experienced slower momentum as consumers moderated discretionary spending amid continued rising living costs and ongoing economic uncertainties,” it said.

For the three months ended March 31, 2026, revenue from its Malaysian operations slipped 2% to RM222mil from RM226mil a year earlier. The softer sales performance, coupled with higher operating costs, resulted in a lower operating profit of RM71mil.

As at March 31, Parkson operated 39 stores in Malaysia and 38 stores across 23 cities in China.

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