Gross profit for the reporting period came in 0.8% y-o-y lower at $43.8 million.
The group has declared an interim dividend of 1 cents per share for the first half of the year.
The group’s growth in revenue was primarily driven by higher contributions from the outlet
management division.
The increase was supported by the opening of one coffee shop, one food court, and one industrial canteen in FY2024, as well as the addition of another coffee shop in 1HFY2025. Revenue from cleaning services rose following the securing of new cleaning contracts.
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However, this growth was partially offset by the closure of a coffee shop and an industrial canteen in FY2024, along with reduced contributions from existing coffee shops.
The group’s food retail division reported a revenue decline of $1.4 million, mainly attributed to lower contributions from existing food stalls and outlets, the closure of eight underperforming food stalls and one restaurant in FY2024, as well as an additional four underperforming stalls in 1HFY2025.
However, the impact was partially mitigated by the opening of 11 new stalls and outlets in FY2024, along with eight more in 1HFY2025.
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Cost of sales rose to $115.5 million in 1HFY2025 due to higher payroll and increased depreciation of right-of-use assets. Administrative expenses also increased and finance costs rose due to higher interest rates upon lease renewals in FY2024.
As such, these factors led to a decrease in earnings.
As at end March, net cash from operating activities was $36.6 million, and cash and cash equivalents stood at $76.4 million.
Kimly says that this decrease in cash and cash equivalents was due to the final dividend of $12.4 million in February 2025 and the purchase of a coffee shop property located at Block 204 Serangoon Central of $12.5 million in March 2025.
Shares in Kimly closed flat at 33 cents on May 14.
