SINGAPORE (Oct 25): Home-grown supermarket chain operator Sheng Siong Group is not exactly a fast-growing company. Yet, against a backdrop of soft economic growth and volatile costs, its resilience has made it something of a star performer.

Within the Commerce segment of companies, Sheng Siong achieved the highest growth in profit before tax growth over the last three-year period. The company was also the second best performer in the sector in terms of return on equity (ROE) and total stock return over the same period. All in, that made it the top scorer within the sector.

Sheng Siong’s stores are located in the heartland areas of Singapore, and primarily sell basic necessities and household items. It has managed to gain market share through competitive pricing, made possible by gains from bulk handling, a better sales mix, productivity initiatives and diligent cost control, according to analysts. As the company has gained market share and expanded its operations, it has benefited from economies of scale.

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