(LEAD) Lotte Shopping swings to Q3 profit on strong overseas, department store sales

Lotte Shopping, a subsidiary of the Lotte Group, reported a net profit in the third quarter of 2023 after recording a loss in the same period last year. This shift to profitability was driven by strong performance in overseas markets and improved sales at its department stores. The company reported a net profit of 142.4 billion won (US$105 million) for Q3 2023, compared to a net loss of 48.7 billion won in Q3 2022.

Strong spending by foreign tourists at department stores and robust sales at hypermarkets in Vietnam contributed significantly to the improved results. Lotte Shopping operates department stores and hypermarkets in Vietnam and Indonesia.

Lotte Mall West Lake Hanoi, a sprawling mixed-use complex including a shopping mall, supermarket, hotel, aquarium, and movie theater, has generated over 1 trillion won in sales since its opening in September 2023. The company's operating profit increased by 34.5% to 175.6 billion won in Q3 2023, up from 130.5 billion won a year earlier.

Sales grew by 7.1% to 3.65 trillion won, up from 3.41 trillion won. From January to September 2023, the company turned a net profit of 300.86 billion won, up from a net loss of 40.95 billion won a year ago. Operating profit surged 62% to 518.35 billion won, compared to 319.38 billion won. Company officials stated they will continue restructuring the business portfolio and strengthening core department store and retail operations to ensure sustainable growth.