Press Release

2024-02-27

Press release of PCSC 2023 financial results

In 2023, through the concerted efforts of 7-ELEVEN Taiwan and its subsidiaries, including 7-ELEVEN Philippines, Starbucks Taiwan, Cosmed, 7-ELEVEN Shanghai, etc., the consolidated revenue of PCSC exceeded NT$300 billion for the first time, marking a growth of 9.16% compared to the same period last year and achieving a record-high consolidated revenue for the eighth consecutive year, setting a historic milestone. The consolidated net profit after tax for the whole year reached NT$12.661 billion, with a growth of 14.37%. The earnings per share after tax were NT$10.21, representing a growth of 14.33% compared to the same period, marking the second-highest level in history (the highest was in 2017, including profits from the Starbucks transaction).

In addition to this outstanding performance, 7-ELEVEN Taiwan has been at the forefront of trends such as travel recovery, home economy, and sustainable consumption. It continues to innovate, specialize, and integrate, promoting innovative products and high-quality services, achieving five groundbreaking initiatives in local retail: becoming the first retailer to achieve the milestone of serving an entire township with the establishment of the landmark store "Luofu Store" along the winding Provincial Highway No.7 in northern Taiwan; creating a brand-new local online shopping mall and a user-friendly platform for opening stores, known as "iOPEN Mall"; pioneering the future of retail by experimenting with automated and unmanned convenience stores through collaboration with research institutes such as ITRI, known as X-STORE 7; consistently ranking in the top 5% of listed companies in Taiwan Stock Exchange's "Corporate Governance Evaluation" for nine consecutive years; and being included in the Dow Jones Sustainability Index for five consecutive years, making it the only Taiwan retailer to be listed and ranking third globally in the food retail industry.

In response to consumer demand and expectations in 2023, 7-ELEVEN Taiwan, with the service concept of "it's really good to have 7-ELEVEN!", expanded its footprint across 368 townships and urban areas nationwide, reaching a total of 6,859 stores. It integrated "iPre-order," "iGroup-buying," "OPEN NOW," and over 1,700 "Smart Vending Machine," breaking barriers of time and space to explore opportunities beyond traditional store fronts. Actively catering to seasonal demands, it continued to develop innovative products in fresh food, coffee, Slurpee, soft-serve ice cream, pre-order items, snacks, beverages, and international brands, promoting lively sales through store-wide themed marketing activities and introducing innovative offerings during major store types, business district events, and Christmas promotions. Leveraging its channel influence, it established the new local online shopping mall "iOPEN Mall," supporting micro-entrepreneurs and SMEs and fostering mutually beneficial business opportunities. Responding to the thriving tourism sector, the business around highway rest areas continued to expand, connecting diverse and innovative approaches within the OPEN POINT ecosystem, enhancing membership numbers and engagement. Member contributions reached a historic high, surpassing the billion-dollar mark!

7-ELEVEN Taiwan's membership management performance has been remarkable, leveraging strategies in membership, points, and payments to continuously innovate the OPENPOINT ecosystem. This includes leading the industry by expanding point redemption options for two consecutive years, resulting in over NT$60 million in savings for members. Additionally, pioneering in Asia by enabling international payment integration with Google Pay, allowing point accumulation with contactless payments, and facilitating invoice storage and retrieval, significantly streamlining the checkout process. Innovations in retail practices include promoting cross-border member services with the "Cross-border Travel Passport," and responding to the Ministry of Finance's policies by initiating the "OPEN POINT Member Device Cloud Invoice Lottery Event" to create dual winning opportunities with cloud-based invoices. Furthermore, the implementation of the "Mobile ordering and pickup iCash 2.0 Prepaid Card Sharing Service" ensures equal access to shared goods for both seniors and children. In 2023, these efforts were recognized with multiple external awards, including the Innovation Business Award, Digital Transformation Award, and the National Brand Yushan Award.

Besides, 7-ELEVEN Taiwan targets the trend of lifestyle gastronomy platforms, expanding its fresh food operations through three key approaches: "Branding," "Diversification," and "Localization." Under the "Branding" strategy, it continues to expand operations with billion-dollar gourmet brands such as Star Rated Cuisine, Ohlala, Veggie Selection, while introducing the new brand "Salad Mood" to enrich personalized light dining options and innovate lifestyle rituals. Focusing on "Diversification," it emphasizes district-based gourmet options like Original Pressed Toast, Star Rated Cuisine - Braised Delicacies, HaShao Counter, and Semeur Bakery Counter, continually increasing store numbers and product offerings. Through "Localization," it collaborates with local agricultural authorities to promote local agricultural specialties, expanding digital sales through iPre-order and iGroup-buying to support sustainable development of local agriculture and fisheries. Moreover, it leads the retail industry by initiating the "Sustainable Farm" project, cultivating cabbage and corn for fresh food production and sales at specific stores, driving related category revenue growth by 10 to 40 percent through diversified strategies.

In response to the vibrant market demand for freshly brewed beverages and frozen treats in Taiwan, the coffee business of 7-ELEVEN Taiwan deepens its operations through four key strategies: "Diverse Branding," "Cross-industry Collaboration," "Equipment Upgrades," and "Sustainable Circulation." Under the strategy of "Diverse Branding," CITY PRIMA provides premium coffees, with the number of service stores surpassing 6,100, making it the largest network in Taiwan. CITY CAFE, CITY TEA, and CITY PEARL collaborate to develop over 20 seasonal new products annually, along with creative cup designs that ignite social media discussions and offer innovative lifestyle experiences. Through "Cross-industry Collaboration," 7-ELEVEN Taiwan leads the retail sector by introducing new equipment such as three bean hopper, expanding its usage to enhance service quality. In terms of "Sustainable Circulation," 7-ELEVEN Taiwan partners with the unified packaging integration group to establish the "OPEN iECO Circulation Cup Service," leveraging resources from Starbucks, 21Plus / 21st Century, and others to promote and serve in over a thousand locations. Furthermore, the proactive deployment of the "OPEN iECO Circulation Cup Lid" creates new sales opportunities for stores and drives over 10% growth in related category revenue. Additionally, 7-ELEVEN integrates Slurpee, soft-serve ice cream, and COLD STONE diverse stores, establishing the most comprehensive freshly made ice cream service platform in the industry. It continues to expand store presence to increase service density and generate new growth momentum.

In 2024, 7-ELEVEN Taiwan is set to continue its proactive expansion efforts, with the number of stores expected to surpass 7,000, aiming even higher to reach 7,111 stores. Through an omnichannel strategy, it will continue to meet consumer demands while also focusing on developing innovative services and trendy products. By further integrating with the OPENPOINT ecosystem to enhance the member economy, actively striving to become the preferred lifestyle service platform for consumers and driving healthy and steady growth in performance.

Note: As of the end of December 2023, Taiwan's 7-ELEVEN had 6,859 stores, compared to 6,631 stores during the same period last year.

BACK >