AEON profit climbs 28.8% to $97m in Q1

This is despite a 14.4% drop in revenue.

AEON Credit Service (Asia) Company Limited recorded a 28.8% year-on-year increase in profit to $97m in the first quarter of the year, despite registering a decline in revenue.

The Group’s revenue decreased 14.4% YoY to $245.5m during the quarter, but it mitigated the impact through enhanced credit assessment as well as effective collection efforts to reduce overdue advances and receivables.

This helped the Group improve its impairment losses and impairment allowances. Earnings per share during the quarter increased to 23.15 cents from 17.97 cents.

“Our strong capital base and low gearing can give us the support we need to seize new business opportunities even in the turbulent financial market,” Tomoharu Fukuyama, Managing Director of AEON Credit, said in a statement.

“With the increase in sales in the first quarter and the bouncing back of receivable in May 2021, the Group is confident to sustain the growth trend.”

For this year, the Group will further advance its digital transformation initiatives and upgrade its capabilities to better respond to uncertainties. It is also expected to launch online applications for credit cards.

It will also boost its presence through social media and its mobile applications to promote its products and marketing programs.