Seven & i Holdings reported a sharp drop in profits in its latest quarter, missing analyst estimates and piling more pressure on the convenience store giant as it tries to fend off a $47bn buyout offer from Canada’s Alimentation Couche-Tard.
The Japan-based owner of the 7-Eleven brand said on Thursday that operating profit came in at ¥128.4bn ($810mn) in its third quarter to the end of November, a drop of 24 per cent from the same period the previous year. It also missed analyst expectations of ¥138bn, according to LSEG data.
The results come as Seven & i battles to prove to investors it is more valuable as a standalone business after Couche-Tard proposed what would be Japan’s biggest corporate takeover. The offer sent the company rushing to squeeze more value from its core convenience store network.