Monthly Operations Summary FY2013 (February 2014)

Business Report

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The sales result of Lawson, Inc. is as follows. Total sales at all stores in February 2014 amounted to 150,344 million yen, 102.0% of the same period last year. Net sales of existing stores were 101.2% of the same period last year. Average daily sales per store (all stores) amounted to 510 thousand yen. The average number of customers per store (existing stores) was 800, 98.5% of the same period last year. The average spending per customer (existing stores) was 598 yen, 102.7% of the same period last year. The existing stores’ sales of LAWSON business in Japan, which had been disclosed till last month as the non-consolidated net sales, were 101.7% of the same period last year.

 

Despite the extremely heavy snow in the Kanto-Koshinetsu region in mid-February, net sales of existing stores in February achieved higher sales amount than the previous year. It was mainly led by strong sales trend of over-the-counter fast food category including MACHI café and the sandwiches category.

The number of stores which operates MACHI café is reaching around 8,000. By launching MACHI café service which requires a certain degree of both the product quality and the service quality of sales crews at each store, we have improved the overall service level of store operations such as customer service, adequate and attractive merchandise assortment, and cleanliness of stores.

 

Existing store sales by merchandise category were as follows:

 

Sales of over-the-counter fast food category substantially exceeded the amount in the previous year. This was due to high sales of in-store prepared foods, authentic freshly-brewed coffee, MACHI café and Chinese steamed buns.

 

Sales of sandwiches and other chilled bakery items significantly exceeded the amount in the previous year, led by sales of wheat bran bread developed for health-conscious customers and the mixed fruit and cream sandwiches.

 

The delicatessen category significantly exceeded the previous year’s amount. In particular, prepared food categories recorded significant year-on-year growth led by expansion of the customer base led by strategy targeting female and senior customers.

 

Sales of non-chilled bakery items exceeded the amount in the previous year, led by the "Miffy campaign" and products developed as a tie-up between Lawson and a popular TV drama .

 

Sales of daily delivered foods, canned/bottled foods, and frozen meals exceeded the amount in the previous year.

 

Driven by sales of high quality ice cream “UCHI café KiSS,” the ice cream category exceeded the sales amount of previous year.

 

Sales of cigarettes were still weak and it negatively impacted net sales of existing stores by around 1.5% points year on year.

 

As of February 28, 2014, the Lawson Group had 11,606 stores in Japan, including 105 NATURAL LAWSON stores, 1,202 LAWSON MART/LAWSON STORE100 stores including one LAWSON MART store.

 

Existing store sales of LAWSON MART/LAWSON STORE100 amounted to 96.8% of the same period last year (number of customers: 95.0%; spending per customer: 101.9%). On February 20, we opened the first LAWSON MART store in Yokohama as a conversion from LAWSON STORE100 and we closed 11 stores of LAWSON STORE100.

 

To expand the customer base, Lawson has promoted "Rilakkuma Spring Campaign" from February 26 until June 3.

 

(Note) The sales of Lawson, Inc. include those of LAWSON stores except operated by Lawson Okinawa, Inc., Lawson Minami-Kyusyu Inc. and Lawson Kumamoto, Inc., those of NATURAL LAWSON stores and those of LAWSON MART/LAWSON STORE100 stores. The sales of LAWSON business in Japan are those of LAWSON stores and NATURAL LAWSON stores.

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