Chinese department store operator Rainbow has announced its performance results for the third quarter of 2011, stating that its operating revenue increased by 25.5% year-on-year to CNY2.877 billion and its net profit increased by 13.9% year-on-year to CNY113 million.
By the end of the reporting period, the company had developed 42 self-owned chain department stores under the Rainbow brand, with total operating areas of 1.046 million square meters. It also had a 37,800-square-meter department store under the Dreams-on brand, and three franchised department stores under the Rainbow brand.
The report also revealed that from January to September 2011, Rainbow's total operating revenue was CNY9.251 billion, a year-on-year increase of 0.25%; and its net profit was CNY440 million, a year-on-year increase of 32.86%. At the same time, its operating revenue from comparable stores increased by 21.17% and its operating profit increased by 33.23%. The company expected that its net profit for the entire year of 2011 will increased by between 25% and 50%.
During the first nine months of 2011, Rainbow opened three new department stores in Jiangsu, Fujian and Dongguan, respectively. In addition, on March 4, 2011, the company acquired the entire stake in Shenzhen Gongming Rainbow Department Store and transferred all franchised stores of the latter to self-owned stores.