Gross profit increased by 54.7% y-o-y to $49.4 million in line with the increase in revenue.
Gross profit margin increased by 0.3 percentage points y-o-y to 84.6%
Other income, which comprises mainly the group’s royalty income, as well as grants from the government, fell by 89.6% y-o-y to $688,000 due to the government’s grants.
Share of profit of associated companies fell by 54.3% y-o-y to $139,000 mainly due to losses incurred by associated companies in China as a result of the country’s strict zero-Covid-19 stance during the period under review.
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As at Dec 31, 2022, cash and bank balances stood at $19.9 million. During the period, the group’s total assets rose by 11.5% y-o-y to $86.8 million due to an increase in right-of-use assets recognised, higher plant and equipment, rental deposit and trade receivables.
The number of restaurants within the group’s portfolio stood at 61 as at Dec 31, 2022.
Looking ahead, the group says it expects the food and beverage (F&B) industry and its topline to see an increase on the back of the return of dine-in customers and the lifting of Covid-19 restrictions in Singapore.
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It adds that it will boost its efforts to manage their expenses and maintain their balance sheet to cushion their bottom line against rising costs.
Shares in Japan Foods closed at 43.5 cents on Feb 9.
