KUALA LUMPUR (Feb 25): Aeon Co (M) Bhd saw its net profit fall 49.1% to RM38.31 million in the fourth quarter ended Dec 31, 2015 (4QFY15), from RM75.21 million a year ago, mainly on higher operating costs, higher interest expenses and initial costs associated with newly-opened stores.

Revenue, however, rose 0.4% to RM975.67 million, compared with RM971.66 million in 4QFY14, its bourse filing today showed.

Aeon said the revenue from its retail business fell 0.4% to RM834.7 million, due to weaker consumer sentiment after the implementation of the goods and services tax, and the weakening of ringgit.

Revenue from its property management services segment, meanwhile, grew 5.7% at RM141 million, mainly due to contributions from its new shopping centres.

For its full year ended Dec 31, 2015 (FY15), Aeon’s net profit fell 37.3% to RM133.41 million, from RM212.71 million, on higher operating costs, interest expenses and initial costs associated with newly-opened stores, including its subsidiary.

The company also pointed out that the previous year’s results had included a gain on the disposal of its 18.18% undivided share of land and the building of AEON Taman University shopping centre for RM14.2 million.

Its full year revenue grew 3.5% to RM3.83 billion, from RM3.71 billion, mainly due to contributions from the full year operations of its new stores that opened last year.

In light of the current tough economic environment, current consumer spending behaviour and rising cost of living, Aeon expects its performance for FY16 to be "difficult".

“The group, with its established presence and competitive strengths, believes that by employing appropriate pricing, merchandise assortment, marketing strategies together with operational efficiency efforts, will ensure that its core businesses continue to grow,” it added.