Foodcourt operator Koufu Group has reported revenue of $192.4 million for FY2020 ended Dec 2020, down 19% from the preceding year, as circuit breaker measures earlier in the year hurt overall sales. However, coupled with writedowns and other one-off items, the company’s earnings dropped by 64.3% y-o-y to $9.9 million.
Pang Lim, Koufu’s executive chairman and CEO believes that despite the woes this past year, the company is better positioned to capture growth ahead. “We have emerged stronger as a business by working with strategic and complementary partners to reinforce our business and revenue streams,” says Pang.
For example, during the year, Koufu acquired other food businesses such as Deli Asia. It is also steadily expanding in overseas markets such as the Philippines and Macau.
With the recovery in footfall and resumption of dine-in services locally in the third and fourth quarters of 2020, Koufu continues to generate healthy profits in FY 2020.
SEE: Koufu brings in the dough with attractive acquisition: CGS-CIMB
The company plans to pay a final dividend of 0.7 cents. Together with the interim dividend of 0.5 cents already paid, the total FY2020 payout of 1.2 cents represents a payout ratio of around 70%.
As of end 2020, Koufu runs 48 food courts, 18 coffee shops and a commercial mall under the outlet & mall management segment, while its F&B retail segment constitutes 74 self-operated F&B stalls, 36 F&B kiosks, seven so-called quick-service restaurants, four full-service restaurants and 57 Delisnacks branded F&B stalls.
Koufu closed Feb 23 at 67 cents, up 1.52%.
