Vietnam’s leading mobile retailer, Mobile World Investment Corporation (MWG), is strategizing a business overhaul, aiming to close nearly 200 unprofitable stores by the end of the year due to a substantial decline in revenue from January to October.

The conglomerate, encompassing the mobile phone retailer The Gioi Di Dong, electronics store Dien May Xanh, and grocery chain Bach Hoa Xanh, recently disclosed business results for January-October on its official website, revealing a total revenue of approximately VND11.2 trillion (US$461.3 million) last month. This marks the first positive growth this year compared to the same period in 2022.

The The Gioi Di Dong and Dien May Xanh chains contributed over VND7.8 trillion ($321.3 million), experiencing a five percent decline from the previous year but an approximately eight percent increase from the previous month, primarily fueled by the recent launch of the iPhone 15.

The Bach Hoa Xanh chain contributed VND3 trillion ($123.6 million), showing a 29-percent growth from the same period last year, with an average revenue per store exceeding VND1.7 billion ($70,000). Bach Hoa Xanh stores collectively generated VND25.3 trillion ($1 billion), reflecting a 13-percent increase year on year.

In the first 10 months of 2023, the combined revenue of The Gioi Di Dong and Dien May Xanh chains reached VND70.2 trillion ($2.9 billion), witnessing a 21-percent decrease from the corresponding period last year.

Revenue from online channels alone approached VND13.3 trillion ($548 million), indicating a 13-percent decrease from the same period last year.

Established in 2004, MWG originated as a small company with three mobile phone and electronics stores. Presently, it boasts a network of six chains with over 5,500 outlets and employs more than 70,000 workers across Vietnam, as outlined on the company’s website.