PCSC Aims to Raise Chain Store Number to 8,300 in 2014

Responding to smaller-sized competitors gradually withdrawing from the market for convenience store this year, President Chain Store Corporation (PCSC), a convenience store chain operator under Uni-President Enterprise Corporation, the largest food and beverage manufacturer by market share in Taiwan, aims to increase chain stores to 8,300 at home and overseas, according to the company's president, Ray Chen.

At a business meeting held earlier with media, Chen announced that PCSC, the owner of 7-Eleven, Starbucks and other known retail chains in Taiwan, budgets about US$2.5-3 billion (about between US$80 million and US$100 million) for capital expenditure this year, mostly to open new chain stores in Taiwan and China.

The president says that his company is inspired to greatly expand its chain store number  mainly due to gradual withdrawal of smaller-sized rivals from the increasingly competitive market for convenience stores, which, in turn,  vacates more room for his company to further grow in the future.

Therefore, Chen said that his company this year will step up opening more chain stores and expand the 7-Eleven chain to 5,000 stores, a goal originally set for next year, in Taiwan.

Meanwhile, the number of the company's chain stores in China is expected to exceed 1,000 this year, including 600 Starbucks and 218 Ginza supermarkets, along with 1,200 7-Elevens in the Philippines. Hopefully, Chen said, the company's total chain stores will reach 8,300 globally this year.

PSCS reported consolidated revenue of NT$200.611 billion (US$6.62 billion) for last year, growing 4.15% yearly, with net profits of NT$8.036 billion, or NT$7.73 per share, up 36%, both record highs. With its deployment in Taiwan, China and the Philippines roaring ahead, the company is expected by foreign institutional investors to score a 20% growth in net profits this year and 14% next year. (SC)