BreadTalk profit nearly quadruples
BreadTalk profit increased nearly fourfold in the last quarter to $4.43 million (US$3.1 million), up from $1.15 million year-on-year.
Quarterly sales fell by a minor 1.1 per cent from $155.1 million to $153.3 million.
The bakery retailer’s net profit for the full year grew 50.4 per cent to $11.44 million, while revenue slipped 1.5 per cent to $615 million with lower bakery and food-atrium sales.
BreadTalk Group chairman Dr George Quek say the company will continue to streamline. “We will also invest in talent development. Our aim is to remain well positioned to navigate the challenging F&B retail landscape.”
There are three divisions in the company – bakery, food atrium and restaurants.
The drop in revenue was primarily attributed to weakness in the China franchise business, mitigated by strong performance of directly run stores in Singapore as well as the company’s international franchise business.
Outlet count stood unchanged at 862, but with greater proportion of franchise outlets.
Food-atrium revenue declined 8.2 per cent to $158.9 million. Same-store sales growth remained healthy in Singapore with recovery in Thailand, says the group, while same-store sales declined across its China outlets.
At the end of the year the division had 57 outlets following two openings in Shanghai and 10 closures (five in China).
The restaurant division delivered 4.9 per cent revenue growth to $150.2 million, as same-store sales growth momentum continued with recovery at RamenPlay and a higher contribution from Din Tai Fung Thailand.
There were 32 outlets, including three openings and the closure of a Din Tai Fung outlet in Singapore.
Founded as a bakery brand in Singapore in 2000, BreadTalk expanded to become an award-winning F&B group with nearly 1000 retail outlets across 15 territories. Its brand portfolio comprises Bread Society, BreadTalk, Carl’s Jr in China, Din Tai Fung, Food Republic, RamenPlay, The Icing Room, Thye Moh Chan and Toast Box.
The group has a network of owned bakery outlets in China, Hong Kong, Malaysia, Singapore and Thailand as well as franchised bakery outlets across Asia and the Middle East. It also owns and runs Din Tai Fung restaurants in Singapore and Thailand, as well as the award-winning Food Republic food atria in China, Hong Kong, Malaysia, Singapore and Taiwan.