New outlets boost Koufu Group’s first-quarter revenues
Singaporean food court and coffee shop management firm Koufu has reported 12.3 per cent net profit growth for this year’s first quarter to S$7 million (US$5.13 million) on higher contributions across its business segments.
The growth in net profit outpaced the 4.9 per cent growth in Q1 revenue to $57.8 million compared to $55.1 million during the same period last year.
“We are pleased to have achieved a strong start for the year,” said Koufu’s executive chairman and CEO Pang Lim. “We remain firmly focused on the expansion of our market share in food courts and coffee shops, growing our F&B concept stores, and bringing new food options and varieties to consumers both locally and in the region, leveraging on our distinct portfolio of brands.
“We are encouraged by the strong reception of our R&B Tea brand and will continue to nurture this fast-growing brand in Singapore and in the region. Overseas, we have opened our second tea-beverage kiosk at Macau University this quarter and are currently negotiating terms with potential partners to operate both the R&B Tea and Elemen brands abroad. In Singapore, we will continue to seek and secure new premises to expand the number of F&B outlets in pursuit of sustainable growth.”
Koufu’s synergistic business segments – outlet and mall management as well as F&B retail – both registered increased contributions during the period. The outlet and mall management segment, which contributed 51.4 per cent of the group’s revenue, achieved a 9.2 per cent rise in segment revenue during the period. F&B Retail, which contributed 48.6 per cent of the group’s revenue, saw a 0.7 per cent growth to SGD28.1 million. The improved performance from both segments was due to new openings and overall robust revenue growth from all outlets that outweighed store closures during the quarter.
The group’s islandwide network numbers 49 food courts, 15 coffee shops, a hawker centre and a commercial mall under the outlet and mall management segment, while the F&B retail segment constitutes 73 self-operated F&B stalls, 16 F&B kiosks, eight quick-service restaurants and three full-service restaurants.