Shinsegae achieved consolidated total revenue of 3.1414 trillion won and operating profit of 167.1 billion won in the second quarter of this year, representing increases of 8.5% and 121.9%, respectively, year-on-year. According to Shinsegae on the 11th, buoyed by this strong performance, first-half total revenue reached 6.3558 trillion won and operating profit reached 365 billion won, setting new all-time records for a first half. First-half revenue and operating profit rose 10.1% and 75.7%, respectively, compared to the same period last year.

■ Main and Gangnam Store Renewals Drive Growth... Department Store Q2 Operating Profit Up 53.5% Department store business revenue in the second quarter reached 2.017 trillion won and operating profit reached 108.8 billion won, up 15.5% and 53.5%, respectively, from a year earlier. The performance growth was driven by store renewal efforts and the introduction of trendy content, centered on the Main and Gangnam stores. Across all department store operations in the first half, every product category achieved balanced growth, including luxury goods (35%), fashion (10.1%), living (16.6%), and food (13.7%). Notably, the influx of new customers was prominent, with new customers accounting for 27.7% of all Shinsegae Department Store customers, of which 45% were in their 30s or younger. Foreign customer sales also surged 120% year-on-year to 580 billion won.

■ Subsidiaries Achieve 'Profitability Across All Businesses'... Duty-Free and Casa Turn Profitable Improvements in the performance of subsidiaries also stood out. Shinsegae International recorded Q2 revenue of 291.6 billion won and operating profit of 7 billion won, successfully returning to profitability. The cosmetics division posted its highest quarterly revenue of 129.5 billion won, while imported fashion sales grew 31.8%. Shinsegae DF (duty-free) saw its revenue decline 10.3% year-on-year to 542.6 billion won, but turned to an operating profit of 33.3 billion won. The improvement was driven by strengthening luxury brands at the Incheon Airport store, an increase in foreign tourist traffic at downtown duty-free shops, and cost efficiency measures. Shinsegae Central recorded Q2 revenue of 108.7 billion won and operating profit of 14.9 billion won. Benefiting from the integration of the JAJU division, Shinsegae Casa saw its revenue surge 104.5% to 119.2 billion won and returned to profitability with an operating profit of 2.4 billion won. Shinsegae Live Shopping posted its best results since incorporation, with cumulative first-half operating profit of 12.6 billion won.

"Profitability Across All Businesses Bears Fruit... Management Efficiency to Continue in H2" In the second half, Shinsegae plans to sequentially introduce tailored content for each store based on its commercial district, including a luxury overseas designer apparel specialty section at Daegu Shinsegae, a women's fashion specialty hall at the Hanam branch, and 'Hyperground' at the Cheonan-Asan branch. Shinsegae DF intends to enhance its duty-free business competitiveness by strengthening its portfolio of global luxury brands, expanding differentiated merchandise (MD) centered on 'Prestige Beauty,' and expanding VIP experience programs. A Shinsegae official stated, "Strategic investments to secure future customers and efforts to improve our management practices have culminated in profitability across all business areas," adding, "We will continue to pursue management efficiency and specialization in the second half to maintain our industry leadership." Meanwhile, to enhance shareholder value, Shinsegae will implement a quarterly dividend for the second quarter. The record date is the 31st, and a dividend of 1,300 won per common share will be paid.