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By
Reuters
Published
Jul 6, 2009
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Japan's Aeon to post Q1 loss on weak sales

By
Reuters
Published
Jul 6, 2009

TOKYO, July 6 (Reuters) - Aeon Co Ltd (8267.T), Japan's second-largest retailer, will likely post a 2 billion yen ($21 million) net loss for the March-May first quarter due to sluggish sales, the Nikkei business daily reported on Monday 6 July.

Aeon
Aeon Beijing International Mall Shopping Center - Photo: www.aeon.info

Aeon, which is due to announce quarterly earnings after the close on Tuesday 7 July, posted a net loss of 9.2 billion yen in the same quarter a year earlier.

Aeon's earnings have been battered by weak sales of clothing and general merchandise at its supermarkets, the Nikkei said.

Even though its profits for the March-May quarter will likely have fallen short of target, Aeon is unlikely to revise its forecasts for the full year to February 2010, the Nikkei said.

Quarterly sales are likely to have fallen 3 percent to about 1.24 trillion yen, while operating profit is expected to have dropped 62 percent to about 8.5 billion yen, the Nikkei said.

Same-store sales at Aeon's supermarkets fell about 5 percent, the Nikkei said.

(Reporting by Nathan Layne; Editing by Edwina Gibbs)

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