BFood Q3 revenue up 11% to RM163.5m

PETALING JAYA: Berjaya Food Bhd (BFood) saw revenue grow 11% to RM163.54 million in the third quarter ended Jan 31, 2017 (Q3FY17), from RM147.27 million in the previous corresponding quarter mainly due to additional cafes operating in the current quarter.

The group’s net profit declined to RM4.67 million, compared with RM7.4 million in the same period last year, due to losses incurred by Kenny Rogers Roasters’ operations in Malaysia, as well as higher write down of fixed assets arising from the closures of certain non-performing restaurants.

In a statement yesterday, BFood said the board has recommended a third interim dividend of 1 sen single-tier dividend per share in respect of the financial year ending April 30, 2017 to be payable on April 28, 2017. The total dividend declared for the financial period ended Jan 31, 2017 amounted to 2.5 sen single-tier dividend per share.

For the nine months period, its net profit was down to RM14.7 million, against RM19.7 million a year ago, while revenue increased 9.4% to RM454.02 million, from RM415.1 million previously.

Commenting on prospects for the financial year ending April 30,2017, BFood said it will be operating in a challenging environment in the remaining quarter of FY17, with the further weakening of the ringgit impacting the gross profit margin and other economic factors.

Nevertheless, the group said it expects Starbucks to maintain its revenue growth momentum, and the price adjustment in January 2017 is expected to mitigate the negative impact from the weakening of ringgit.