Japanese retail giant Aeon Co Ltd on Wednesday reported record first half profits as it reaped the rewards of aggressive expansion, cost-cutting and higher sales and profit margins.

The country’s second-largest retail group said its operating profit jumped 9.2 per cent to 58.26 billion yen ($470m) from the year-ago period, with sales up 3.9 per cent year-on-year to 1.49 trillion yen.

Aeon said same-store sales in the six months to August 20 slipped 0.7 per cent while spending per shopper fell 2.7 per cent.