Lotte Shopping's shares fell sharply in early trading on August 7, despite reporting strong second-quarter results that did not meet market expectations.
As of 10:15 a.m. KST, Lotte Shopping's stock was trading at 98,400 won, down 16,100 won (14.06%) from the previous trading day, according to the Korea Exchange.
The company announced that its consolidated revenue for the second quarter reached 3.485 trillion won, with an operating profit of 89.9 billion won. These figures represent increases of 4% and 121.2%, respectively, compared to the same period last year.
The department store division led the overall performance improvement, with sales rising 9.2% year-on-year to 891.2 billion won and operating profit reaching 119.7 billion won. Analysts attribute this growth to an increase in foreign tourists and a recovery in consumer sentiment.
Both the supermarket and home shopping divisions also showed growth, with supermarket sales increasing by 2.6% and home shopping sales rising by 3.3% compared to the previous year. Overall, the company saw significant improvements in profitability across its main business segments.
However, the stock decline is believed to be a result of not meeting market expectations. According to financial information provider FnGuide, analysts had projected Lotte Shopping's second-quarter operating profit to reach 113.3 billion won, but the actual results fell short by 20.65%.
* This article has been translated by AI.
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