Improvement in the 1Q18’s Overall Performance
ACES posted the growth of 21.5% y-y and 35.6% y-y into IDR1.57 trillion and IDR210 billion in the 1Q18 net sales and net profit, respectively. In fact, on the annual basis, it succeeded to post the growth higher than 20% in the last 4 quarters. The surge in sales was spurred by the growth in all segments. Of note, the contribution of the lifestyle–products segment to the overall sales hiked into 41.2%.
Compared to the 1Q17 margin performance, its 1Q18 gross margin was well-maintained at the level of 47.8%, yet its EBIT margin and net profit margin surged. On the other hand, its 1Q18 cash amounted to IDR1 trillion, the all–time high.
Aggressive Marketing and Expansion Strategies
The success in the 1Q18 sales performance inevitably relied on its aggressive marketing and expansion strategies. As of the early–2018, it has varied marketing programs on the monthly basis. Furthermore, we predict that its rising performance likely further until 2Q18 as the “Boom Sale” program will last for May; indeed, its business expansion of 17 new stores launched in 2017 will start to significantly impact on spurring sales performance in 2018.
Download full report HERE.