Poh Kong expects better results for FY17

KUALA LUMPUR: Jewellery retail chain Poh Kong Holdings Bhd expects to better its performance in the current financial year ending July 31, 2017 (FY17), on the back of an increase in profit for the first quarter ended Oct 31, 2016 (Q1FY17).

"After two years of the implementation of GST (Goods and Services Tax), I think everybody has got used to it. Therefore, we hope that the gold demand will (continue) to remain stable this year," its executive director Ermin DM Siow told reporters after the group's 14th AGM today.

For Q1FY17, Poh Kong's net profit up more than five-fold to RM1.77 million from RM336,000 in the previous corresponding quarter, mainly due to increase in sales volume and improved profit margin.

This was on 7.6% higher revenue of RM185.47 million, compared with RM172.3 million previously, driven by stable demand for gold jewellery, aided by the higher retail gold prices and additional revenue from new outlets.