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Total sales decreased 2.0% year on year to 109,915 million. Existing store sales fell 1.9%, although existing store sales actually fell only 1.4% if sales of the discontinued Highway Card toll cards are ignored. Average daily sales per store were 471,000, while the average number of customers per store per day was 801, down 0.3%. Yen spent per customer was 593 on average, dipping 1.6%.
During the first quarter of the fiscal year, Lawson opened 97 stores and closed 116 stores, resulting in a total of 7,606 stores at May 31, 2003, 19 less than at February 28. Lawson is moving ahead with closing low-profit stores, but at the same time is steadily building up a stock of contracts as it works toward the goal for the current fiscal year of a net 200 increase in stores.
In May, the Onigiriya rice ball Sake Zuke Yaki (launched on May 13 at 160), the simultaneously released miso-soup Onigiriya No Miso Shiru: Kome Miso (150) and the green tea Onigiriya Rokucha (120), together with bakery items, ice cream and chilled drinks all performed well. However, sales slipped from April due to three main reasons: the Golden Week string of public holidays was one day shorter than the previous year; last year sales of Ghibli-related products associated with the movie Spirited Away (English title of the Japanese movie Sen to Chihiro no Kamikakushi) boosted sales about 0.9%; and magazine sales dropped after enjoying high sales at this time last year spurred by the 2002 FIFA World Cup Korea/JapanT, co-hosted by Japan and Korea.
There was no change in beer and happo-shu trends, with the tax hike on the latter having little visible affect.
As previously reported, on May 21, Lawson was informed by a vendor, Sundelica Co., Ltd., that some ingredients had been mislabeled on rice balls sold at Lawson stores in the Miyazaki and Yamagata regions. The products concerned were Niigata Koshihikari Onigiri and Tori Gomoku Onigiri, which is no longer on sale. Sundelica reported that its Sendai First Sales Office had used different ingredients to those labeled that breached standards and proper quality labeling relating to processed foods under the JAS Law. Lawson is looking into the cause of this incident and redoubling efforts to prevent any reoccurrence. Further details can be found on this website at news release and top management message.
Lawson's 28th Ordinary General Meeting of Shareholders was held on Wednesday, May 27, 2003. Information on the resolutions can be viewed on this website.
Beef Curry and Natsu Yasai To Chikin No Curry, both launched on June 3 as part of continuous efforts to reconfigure the main dishes lineup, have won high marks. Lawson is also focusing on boosting persistently low sandwich sales and plans to launch on June 17 Chef's Sando, a new range of boxed sandwiches that are a departure from previous products. Together with mainstay Onigiriya rice balls and Area Ichioshi bento-boxes, these will gather momentum, leading to higher sales.
The annual 75-day summer gift season, from June 3 to August 16, is underway. Lawson is offering more choice than ever by beefing up its lineup of original products and continuing to offer the Takashimaya Gifts, which sold well in the winter gift season.
Consolidated |
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MAR | APR | MAY | JUN | JUL | AUG | SEP | OCT | NOV | DEC | JAN | FEB | TOTAL | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Opening | 22 | 41 | 34 | 52 | 88 | 84 | 27 | 50 | 51 | 45 | 42 | 89 | 625 | |
Closure | 17 | 39 | 9 | 14 | 16 | 18 | 23 | 17 | 23 | 16 | 5 | 27 | 224 | |
Re-location | 9 | 23 | 19 | 25 | 22 | 24 | 15 | 18 | 13 | 13 | 12 | 12 | 205 | |
Subtotal | 26 | 62 | 28 | 39 | 38 | 42 | 38 | 35 | 36 | 29 | 17 | 39 | 429 | |
Total | 7,621 | 7,600 | 7,606 | 7,619 | 7,669 | 7,711 | 7,700 | 7,715 | 7,730 | 7,746 | 7,771 | 7,821 | 7,821 | |
Net Increase | -4 | -21 | 6 | 13 | 50 | 42 | -11 | 15 | 15 | 16 | 25 | 50 | 196 |
MAR | APR | MAY | JUN | JUL | AUG | SEP | OCT | NOV | DEC | JAN | FEB | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Total Sales (¥millions) |
110,970 | 106,538 | 109,915 | 110,078 | 116,409 | 121,103 | 111,288 | 112,467 | 108,954 | 116,517 | 105,774 | 101,746 | |
All Stores yoy | 98.8% | 98.2% | 98.0% | 100.1% | 96.0% | 98.9% | 101.7% | 101.5% | 103.5% | 100.5% | 101.3% | 101.5% | |
Existing Store yoy | 99.0% | 99.0% | 98.1% | 99.4% | 95.1% | 97.8% | 100.4% | 99.9% | 101.7% | 98.7% | 99.4% | 99.6% | |
Ave.Daily Sales per store (¥thousands) |
476 | 473 | 471 | 488 | 497 | 514 | 488 | 476 | 477 | 491 | 445 | 457 | |
Number of Customers | (Number) | 771 | 789 | 801 | 813 | 827 | 850 | 836 | 814 | 792 | 773 | 727 | 755 |
comparison w/ previous yr |
98.2% | 98.8% | 99.7% | 97.8% | 94.4% | 97.7% | 100.8% | 99.7% | 100.0% | 100.0% | 100.0% | 98.8% | |
Spending per Customer | (¥) | 620 | 605 | 593 | 605 | 605 | 611 | 589 | 591 | 608 | 640 | 620 | 637 |
comparison w/ previous yr |
100.8% | 100.2% | 98.4% | 101.6% | 100.7% | 100.1% | 99.6% | 100.2% | 101.7% | 98.7% | 99.4% | 100.8% |
MAR | APR | MAY | JUN | JUL | AUG | SEP | OCT | NOV | DEC | JAN | FEB | |
---|---|---|---|---|---|---|---|---|---|---|---|---|
Hokkaido | 474 | 473 | 470 | 467 | 471 | 475 | 476 | 477 | 479 | 482 | 483 | 485 |
Tohoku | 642 | 637 | 636 | 639 | 644 | 646 | 646 | 647 | 645 | 644 | 644 | 646 |
Kanto | 1,923 | 1,928 | 1,933 | 1,943 | 1,958 | 1,980 | 1,984 | 1,991 | 1,999 | 2,010 | 2,013 | 2,028 |
Koshinetsu | 315 | 312 | 311 | 311 | 312 | 312 | 310 | 310 | 308 | 308 | 308 | 311 |
Hokuriku | 223 | 220 | 220 | 221 | 222 | 224 | 223 | 222 | 223 | 223 | 223 | 224 |
Tokai | 625 | 622 | 624 | 627 | 632 | 629 | 625 | 626 | 630 | 631 | 639 | 644 |
Kinki | 1,735 | 1,722 | 1,726 | 1,723 | 1,735 | 1,740 | 1,734 | 1,739 | 1,740 | 1,743 | 1,751 | 1,756 |
Chugoku | 447 | 444 | 445 | 446 | 448 | 450 | 449 | 449 | 447 | 446 | 447 | 449 |
Shikoku | 366 | 369 | 368 | 366 | 368 | 371 | 370 | 369 | 371 | 370 | 371 | 378 |
Kyushu | 871 | 873 | 873 | 876 | 879 | 884 | 883 | 885 | 888 | 889 | 892 | 900 |
Total | 7,621 | 7,600 | 7,606 | 7,619 | 7,669 | 7,711 | 7,700 | 7,715 | 7,730 | 7,746 | 7,771 | 7,821 |
Shanghai | 103 | 106 | 109 | 116 | 120 | 126 | 129 | 134 | 144 | 146 | 148 | 153 |
* Note) excluding highway card