Revenue was also down by 30.8% to $79.9 million in 1QFY2023 from $115.5 million in 1QFY2022, as Best World’s cost of sales also dropped by 34.2% to $18.2 million for the period due to the decline in revenue.
Gross profit also slipped some 30% to $61.7 million from $87.8 million in the first quarter last year as gross profit margins stayed relatively flat, increasing by 1.1 percentage points to 77.1%.
As at March 31, the company’s cash and cash equivalents stood at $434.9 million.
Best World, known for its direct selling business of beauty and health products, says that is maintaining a cautious outlook for the next 12 months in light of the strong headwinds looming ahead.
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“Management has observed more conservative and restrained consumer spending habits, as the global economy enters into what experts termed as a ‘polycrisis’, prompted by the coalescence of issues which include higher interest rates, inflation, banking crisis, climate change, the war in Ukraine and the intensifying polarisation of the world,” says the company.
Shares in Best World closed 5 cents or 2.53% down at $1.93 on May 9.
