Japan’s Aeon To Change Leadership After Huge Loss in Revenue Revealed

Japan’s Aeon To Change Leadership After Huge Loss in Revenue Revealed

Aeon Co., Japan’s leading retailer and operator of two Aeon Malls in Phnom Penh has announced a change in leadership after the company released a report showing a massive dip in revenue in 2019.

The Japan-based company announced that its board has appointed Vice President Akio Yoshida as president after releasing figures showing the company incurred a net loss of $58 million in the first nine months of 2019. A dramatic shift compared to its net profit of $5.5 million in the same time period in 2018, according to a financial report released by Aeon.

Aeon’s overseas businesses, for example, its two shopping malls in Phnom Penh, have been hugely successful. But its domestic malls and supermarkets are suffering due to online and retail competition.

Aeon Malls in ASEAN has been highly profitable and has been an integral part of the company’s massive growth over the past decade. Operating income in ASEAN increased by over 155 percent in 2019 compared to the same period in 2018.

Aeon Mall plans to open its third retail in Cambodia in 2023, its biggest mall to date covering 174,000 square meters.

In Vietnam, Aeon has invested in expanding and renovating existing malls as the red-hot economy booms.

“In November, we celebrated the grand reopening of AEON MALL Binh Tan (Ho Chi Minh City), our fourth mall in the country,” stated the Aeon report. “This marked the first major renovation of the mall since first opening in July 2016. In all, 71 tenant spaces were renovated, representing nearly half of the total mall tenants.”

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