Promotions dent No Signboard’s restaurant sales
Singapore food and beverage company No Signboard Holdings’ core restaurant business revenue fell 22.4 per cent as increased sales promotions reduced the average spend by diners.
Overall sales for the first nine months grew by 5.4 per cent, reflecting contributions from a standalone company since integrated into the business, creating a profit of $2.7 million.
Sam Lim, No Signboard’s executive chairman and CEO said that despite the challenges and intense competition in the seafood restaurant business industry, the group was heartened to post a net profit attributable to our shareholders.
“Moving forward, our group’s immediate focus will be on turning around our beer business [Danish Breweries] and scaling up our distribution channels. We are also anticipating the first opening of our two new restaurant concepts towards the later half of this year.”
No Signboard recently completed an IPO, raising funds for setting up new chains of casual dining restaurants and expanding Danish Breweries.
In June, the group entered into a franchise agreement to develop and operate a well-known hotpot restaurant chain, Little Sheep, in Singapore, with plans to open five outlets in the next five years in Singapore. It also entered into fast food by setting up Hawker QSR, offering burgers with a local taste, and planning to open the first three outlets in Singapore between October this year and January.
“In addition, we are exploring various methods and menu to revitalise our seafood restaurant
business in order to increase our average table turnaround time and average regularity of
returning customers,” said Lim.
“All these new developments mark an exciting time in the history of our group and should bode well for the group’s profitability and branding in the near future.”