Coffeeshop operator Kimly sees 13.4% fall in full-year profit to $34 million

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SINGAPORE - Coffeeshop operator Kimly posted a 13.4 per cent drop in full-year net profit to $34 million, from $39.3 million a year earlier, despite a revenue jump.

This was mainly due to lower non-taxable government grants, the company said in a Thursday bourse filing.

Earnings per share stood at 2.74 cents for the year ended Sept 30, down from 3.30 cents previously.

Kimly said its revenue for 2022 rose 33.1 per cent to $317.7 million, from $238.6 million in the previous year, on the back of a $73.5 million revenue contribution from newly-acquired Tenderfresh Group.

Tenderfresh’s performance gave a boost to Kimly’s food retail division, which saw year-on-year growth in revenue to $191.2 million, up from $119.4 million. However, the contribution was offset by a fall in revenue following the closure of 11 underperforming food stalls, which Kimly said suffered from manpower shortages.

Kimly’s outlet management and outlet investment business divisions also saw revenue growth in 2022. However, cost of sales grew as well.

A final dividend of 1.12 cents per share was proposed, up from 0.84 cent a year earlier. But last year the company also paid a special cash dividend of 0.6 cent a share.

The final dividend will be put up for shareholders’ approval at the upcoming annual general meeting. The date payable will be announced later.

Shares of Catalist-listed Kimly were trading up one cent, or 2.9 per cent, to 36 cents at 11.40am on Friday, after the earnings announcement. THE BUSINESS TIMES

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