PETALING JAYA: Berjaya Corp Bhd (BCorp) posted a net profit of RM48.63 million in the fourth quarter ended June 30, 2022 compared with a net loss of RM242.57 million in its corresponding quarter last year, in tandem with the higher revenue reported by all the business segments
The group’s revenue increased 33.73% to RM2.35 billion compared with RM1.75 billion for the same quarter last year, driven by the increased revenue in all business segments following the resumption of international and domestic travel and further relaxation of the Covid-19 standard operating procedures.
In the non-food retail segment, HR Owen Plc generated higher revenue arising from the higher sales recorded from both new and used car sectors upon the gradual recovery in supply volume after the earlier supply chain disruption. The food retail segment also contributed higher revenue mainly due to higher same-store-sales growth particularly from Starbucks cafe outlets as well as from the opening of new Starbucks cafe outlets during the financial year.
The property segment reported higher revenue driven by higher property progress billings reported from its local project at The Tropika, Bukit Jalil, and higher sales from its overseas residence unit. The hospitality segment also delivered higher revenue as a result of the higher overall occupancy and average room rates reported by the hotels and resorts business, in particular from the hotels in Iceland after the easing of travel and social restrictions during the current quarter under review.
The higher revenue in the services segment is driven by STM Lottery Sdn Bhd. The higher number of draws conducted, which was 42 draws in the current quarter as opposed to only 28 draws in the previous year’s corresponding quarter contributed to the increased revenue by STM Lottery.
For the full year, BCorp saw a net profit of RM54.44 million compared with a net loss of RM459.63 million last year mainly contributed by the retail and hospitality segments. In addition, the higher net investment-related income and the share of better results from associates and joint ventures also further improved the group’s results.
Revenue increased 10% to RM8.21 billion from RM7.46 billion last year, due to better an overall better revenue from all business segments, especially its retail and hospitality segments.
The non-food retail segment’s higher revenue was bolstered by stronger sales registered by HR Owen resulting from the strong demand with the gradual supply volume recovery and pre-mix tailwinds leading to strong used car profit margin due to the earlier supply chain disruption in the new car sector. The food retail segment reported a higher revenue mainly due to higher same-store-sales growth particularly from Starbucks cafe outlets as well as from the opening of new Starbucks cafe outlets.
The hospitality segment posted higher revenue as the hotel and resorts business reported higher overall average occupancy and room rates during the FY22, with the easing of international travel restrictions. The property segment registered lower revenue due to lower overall property progress billings and lower sales from the overseas residence unit.
The services segment reported lower revenue mainly due to lower revenue reported by STM Lottery and the financial services business. For FY22, the cancellation of 37 draws has resulted in STM Lottery's drop in revenue.
On prospects, the group said the global economy has started to recover as most countries in the world have transitioned into the endemic phase of the Covid-19 pandemic with the full resumption of business activities and the re-opening of international borders. However, the recent rise of global inflation rates caused by the reduction of commodities supplies and disruptions in supply chains, brought on by the ongoing Russia-Ukraine war and the Covid-19 lockdowns in China as well as the geopolitical tension, have certainly impacted the economic recovery rate.
“Taking into account the aforesaid and barring any unforeseen circumstances, the directors are confident that the business operations of the group for the financial year ending June 30, 2023 will show better performance, despite having to bear the rising operating costs going forward,” BCorp said in a statement.