Kim Hin Joo (Malaysia) Berhad (“Kim Hin Joo” or the “Company”), a leading retailer of baby, children and maternity products in Malaysia, today announced that the Company posted revenue of RM22.74 million for the third quarter ended 30 September, 2019 (“Q3FY19”).
For the quarter under review, the Company recorded Profit before Tax (“PBT”) of RM2.71 million compared to RM3.07 million in Q2FY18 while Profit after Tax (“PAT”) stood at RM1.66 million compared to RM2.42 million. This was mainly due to the impact of MFRS 16 accounting changes relating to leases (that came into effect on 1 January 2019). If not for the one-off IPO expenses and lease interest expenses, upon adoption of MFRS 16 leases effective 1 January 2019 (“MFRS 16”), the PBT would have been RM3.62 million.
For the cumulative nine months ended 30 September 2019 (“9MFY19”), the Company posted a 5.1% increase in revenue to RM72.63 million as compared to the corresponding nine-month period ended 30 September 2018 (“9MFY18”) while PBT stood at RM9.39 million. If not for the one-off IPO expenses and MFRS 16 lease interest expenses, PBT for 9MFY19 would have been recorded at RM11.46 million, which is consistent with the adjusted PBT for 9MFY18 of RM11.56 million.
Mr. Pang Kim Hin, the Chairman said that the Company’s 9MFY19 top-line performance showed that the growth trend is intact, and that expansion plans are on-track. “The expansion of the existing retail outlet at Suria KLCC mall from 9,554 sq ft to 12,949 sq ft in September 2018 led to the outlet recording a sales growth of 26% during the current financial period.”
“Other than that, we have expanded our retail network by opening outlets in the Johor Flagship retail outlet in Mid Valey Southkey Megamall, Sunway Velocity Mall and Empire Shopping Gallery on 23rd April, 1st August and 1st September respectively this year. We are optimistic of the prospects of the Group’s performance for the financial year ending 31st December 2019 as it heads towards the year-end festive season,” added by Mr. Pang.
Mr. Pang also said that the Company has finalised the development agreement with The Entertainer UK, with the agreement awaiting approval from the Registrar of Franchise.