Kimly is also positioning itself to capture long-term dining demand in Singapore through strategic expansion of its coffee shop network and continuous enhancement of operations thought recent property acquisitions in Serangoon, Yishun and Haig Road to stabilise long-term operations and reduce reliance on lease renewals.
uSmart is initiating coverage on Kimly with a “hold” and 40 cents target price. Analyst Eng Thiam Choon notes that Kimly is one of Singapore’s largest traditional coffee shop operators, generating majority of its revenue from its food retail division, selling mixed vegetable rice, dim sum, zi char and halal-certified Tenderfresh brands.
“The group continues to strengthen its position in the mid-to low-priced casual dining segment, supported by central kitchens that ensure consistency, and cost efficiency,” says Eng in a Nov 25 report.
