What: Southeast Asia's largest retail conglomerate shows resilience through expansion despite same-store sales decline and market uncertainties.

Why it is important: The results highlight the evolving nature of retail in Southeast Asia, where traditional metrics like same-store sales must be balanced against strategic growth initiatives.

Central Retail's Q1 2025 performance reveals the complex dynamics of modern retail expansion. Total revenues advanced 3% to 61.1 billion baht ($1.9 billion), driven primarily by food sales which grew nearly 10% through strategic new store openings. However, same-store sales declined across all segments: food (-3%), hardlines (-7%), and fashion (-4%), with similar patterns across geographies. The company continues its aggressive expansion, operating 3,844 locations with plans for additional stores across formats. Meanwhile, Central Pattana's mall operations maintain strong performance with 92% occupancy rates, though total revenues declined 1% to 12.2 billion baht due to decreased residential sales. Despite current market uncertainties, particularly around tariffs, both companies demonstrate commitment to long-term growth through continued investment and strategic expansion.

IADS Notes: Central Group's Q1 2025 performance reflects the complex dynamics of Southeast Asian retail transformation. According to Inside Retail's March 2025 coverage , while the company achieved 5.1% Q4 revenue growth to 69.3 billion baht, it faces varying segment performance and operational challenges, particularly in Vietnam. Inside Retail's November 2024 analysis revealed how the company's 6% revenue growth to 63.1 billion baht was driven by aggressive store expansion and tourism recovery, though same-store sales remained challenging. Inside Retail's March 2025 report highlighted Central Pattana's emergence as Southeast Asia's dominant mall operator, with 90% occupancy rates and successful mixed-use developments across its portfolio of 40 shopping malls. Inside Retail's October 2024 coverage showed the company's strategic focus on tourist destinations through a $461 million investment plan targeting locations like Krabi and Chiang Mai. The current results, showing 3% revenue growth but declining same-store sales across segments, demonstrate how the company is navigating market uncertainties through continued expansion while addressing operational challenges.

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