7-Eleven Faces Earnings Pressure Despite Festive Lift

CIMB Securities expects a mild QoQ improvement in 7-Eleven Malaysia’s 4Q25 earnings driven by year-end demand, but warns that rapid store expansion will keep cost pressure high. The group plans 100 net new outlets in FY25, with about 70 opened in the first nine months.

7-Eleven

SEM’s 9M25 core net profit fell 18.4 per cent YoY to RM39.7 million, just 63–66 per cent of full-year forecasts, as rental and staffing costs outpaced revenue growth. Third-quarter margins weakened further as operating expenses rose 9.9 per cent. Following the earnings miss, CIMB Securities cut its FY25–FY27 forecasts and maintained a “Reduce” call, lowering its target price to RM1.58. It noted SEM’s high valuation and competitive headwinds, while citing stronger sales and lower costs as upside risks.

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