Retail in Asia

In Shops

MAP hopes e-commerce unit will boost revenues

After seeing a drop in its net profit in the first quarter of this year, Indonesian upmarket retailer Mitra Adiperkasa (MAP) is forecast to see better performance in coming quarters supported by its new focus on e-commerce.

MAP’s net profit slump was caused by the firm’s higher operating expenses resulting from the development of new business models, such as e-commerce and the introduction of a new management for customer relations, said Bahana Securities analyst Wendy Chandra.

The retailer booked a 22.8 percent increase in its net revenues to IDR2.96 trillion (USD225.6 million) in the first quarter of this year from IDR2.41 trillion in the same period last year, according to its quarterly financial report recently submitted to the Indonesia Stock Exchange (IDX).