Latest news with #KennyRogersRoasters
Malay Mail
31-05-2025
- Business
- Malay Mail
Berjaya Corp's Q3 net loss hits RM92.34m, hospitality and retail weigh on earnings
KUALA LUMPUR, May 31 — Berjaya Corporation Bhd (BCorp) posted a net loss of RM92.34 million in the third quarter ended March 31, 2025 (3Q) compared with a net profit of RM689.92 million in 3Q a year ago due to losses in the property, hospitality, and retail food segments. In a Bursa Malaysia filing today, it said revenue decreased to RM2.54 billion from RM2.78 billion previously, mainly due to lower contributions from the property and retail food segments. The food retail business reported a higher pre-tax loss in the current quarter, mainly due to the weaker performance of Kenny Rogers Roasters operations and additional pre-operating costs incurred for the group's new overseas operations. 'However, the non-food retail business reported a higher pre-tax profit, mainly driven by the strong performance of H.R. Owen Plc, in line with the increased revenue achieved in the current quarter. 'This improvement offset the lower results from Cosway operations, as a result of the closure of non-performing stores in certain countries,' it said in a separate statement. The hospitality segment reported higher pre-tax loss mainly due to higher operating expenses incurred in 3Q of its financial year ending June 30, 2025 (FY2025). 'The lower revenue reported by the food retail business was mainly due to a reduced number of Starbucks cafes in operation compared to the previous year's corresponding quarter, as well as the cessation of Papa John's Pizza operations in the Philippines during the current quarter,' it said. In addition, it said the property segment reported lower revenue mainly due to the completion of The Tropika, Bukit Jalil project in the final quarter of the previous financial year. 'However, this decline was mitigated by higher sales of residence units from a local project in the current quarter under review,' it said. For the cumulative nine-month period, the group posted a net loss of RM348.87 million compared with a net profit of RM580.23 million previously, while revenue declined to RM6.97 billion from RM7.58 billion previously. On prospects, BCorp said the group will monitor the prevailing global and local political developments in countries where it has business operations. 'Meanwhile, the performance of the domestic business segments of the group is expected to improve on the back of strong consumer spending and improvement in tourism activities. 'The directors are cautiously optimistic that the performance of the business operations of the group for the remaining quarter of FY2025 to be satisfactory,' it said. — Bernama
The Star
13-05-2025
- Business
- The Star
Challenges to persist for Berjaya Food
PETALING JAYA: Berjaya Food Bhd is expected to continue facing a challenging operating environment as the lingering effects of geopolitical tensions show no clear signs of abating, analysts say. Compounding this is the increasingly crowded coffee chain landscape, which may hinder its efforts to regain market share, according to Maybank Investment Bank Research (Maybank IB Research). Berjaya Food operates the franchises for Starbucks, Kenny Rogers Roasters and Jollibean Foods cafés and restaurants in Malaysia. For its third quarter ended March 31, 2025 (3Q25), the group's net loss widened to RM37.19mil from RM29.76mil in the same period a year ago. This was mainly due to the weaker performance from its Kenny Rogers Roasters operations. Following the weak set of results, Maybank IB Research said it was projecting the net loss for FY25-FY26 increasing to between RM24mil and RM130mil. As for FY27, its earnings estimates have been lowered by 17%. 'Maintain 'sell' with a lower target price of 20 sen based on 2026 price-to-book value of 1.3 times,' the research house said in a report. It added that the group's sales volume remains on a declining trend year-on-year due to a reduced network of Starbucks cafes following the closures of more than 10 stores year-to-date. It also saw softer sales during the Ramadan period, with sales being impacted due to geopolitical tensions. At the same time, the group continued to run heavy product promotions in attempt to drive sales. To reflect a slower-than-expected sales recovery, CIMB Research also lowered its core net loss estimates for FY25 to FY27. 'Accordingly, our target price is lowered to 28 sen from 32 sen and we now peg the stock to a 2.2 times 2026 price-to-book value,' CIMB Research said in a report. The adjustment was to account for Starbucks' weaker brand equity in Malaysia and rising competition in Malaysia's food and beverage segment. The research house said the stock's current valuations have yet to account for the expectations of continued, albeit narrowing, losses through FY25 to FY27. Trading ideas: Perak Transit, Eco-Shop, Sapura Energy, Yoong Onn, Muhibaah, HeiTech Padu, Dnex, Pentamaster, CJ Century, 3REN, ES, ManagePay, Wesrports, Sentral REIT
