Strong sales performance in January gives Bonia a boost
PETALING JAYA: Bonia Corp Bhd’s net profit for its third quarter ended March 31 grew to Rm12.50mil from Rm2.84mil in the previous corresponding period, driven by higher revenue and improving gross profit margins.
In a filing with Bursa Malaysia yesterday, the luxury fashion retailer said revenue in the third quarter improved to Rm86.82mil from Rm63.45mil a year earlier.
“Group revenue for the quarter increased primarily due to the strong sales performance in January 2022 in conjunction with the Chinese New Year celebrations shopping.
“In addition, the lower revenue recorded in the previous financial year quarter was due to the movement control order (MCO 2.0) imposed in certain states of Malaysia, followed by the conditional MCO.”
For the nine-month period ended March 31, Bonia’s net profit rose to Rm27.09mil from Rm14.59mil in the previous corresponding period, while revenue increased to Rm231.87mil from Rm208.93mil a year earlier.
“Pre-tax profit for the nine-month period ended March 31, increased by 111% to Rm35.5mil from Rm16.8mil primarily due to strong performance achieved in the second quarter of 2022, as a result of the reopening of economic activities in Malaysia and year-end festivities shopping.
“The momentum carried to the third quarter of 2022 in conjunction with the Chinese New Year celebrations shopping.”
Bonia said the strong results in the second and third quarters offset the pre-tax loss incurred in the first quarter of 2022 caused by the nationwide lockdown.
“The overall improvement in pre-tax profit during the current financial period was due to the higher revenue achieved and also the improving gross profit margin from 52.6% to 56.5%.”
Moving forward, Bonia said it will continue its effort to build its brand equity via product research and developments.
It is also planning launches of two new collections in a year (spring, summer and autumn, winter) and will organise brand building activities by collaborating with local and foreign celebrities and social influencers to reach its target audience.
“For the offline channel, the group will focus on the opening of new boutiques at strategic locations and modernising the boutique design concept to enhance the brand retail experience for customers.
“For the ecommerce channel, the group will continue to invest in digital performance marketing to generate traffic and sales for our own websites.”
Additionally, Bonia said it will also expand its presence to regional markets via major marketplaces.
“Barring any unforeseeable circumstances, the board is cautiously optimistic for the remainder of the financial year as a result of the reopening of all economic and social activities in Malaysia and overseas markets.
“In addition, the reopening of Malaysia’s International borders for travellers from all countries effective April 1 and also the Hari Raya Aidilfitri celebrations will benefit the retail industry,” it said.