BCorp registers RM1.39b revenue in first quarter
KUALA LUMPUR: Berjaya Corp Bhd (BCorp) registered revenue of RM1.39 billion for the first quarter ended Sept 30, 2021 (Q1’22), compared to revenue of RM1.94 billion in the corresponding quarter of the previous year.
The quarter saw the group feeling the brunt of the Covid-19 lockdown measures which affected most of its business operations, particularly its gaming segment. However, the results were mitigated by higher sales in the motor distribution business operated by HR Owen PLC in the UK and the hotels and resorts business in Iceland.
BCorp posted a pre-tax loss of RM83.17 million for Q1’22 compared to a pre-tax profit of RM10.88 million in the corresponding quarter of the previous year, mainly on losses incurred by the gaming operations due to the cancellation of draws during the national lockdown.
Furthermore, it pointed out, the previous year’s corresponding quarter saw the recognition of a gain on disposal for Berjaya Jeju Resorts Ltd of about RM67.1 million.
According to its Bursa filing, the group’s marketing of consumer products and services segment saw a higher pre-tax profit, driven by its UK motor distribution business under HR Owen and a favourable foreign exchange effect.
Similarly, its restaurants and cafes segment reported a higher pre-tax profit on the back of increased revenue due to the gradual easing of restrictions on people fully vaccinated against Covid-19, allowing for dine-in.
The hotels and resorts segment also benefited from the easing of restrictions, resulting in a lower pretax loss, mainly due to higher overall occupancy rates, especially for its hotels in Iceland.
Meanwhile, BCorp’s property investment and development segment reported a lower pre-tax loss mainly due to higher progress billings from a local project.
The quarter saw its gaming operations reporting a pre-tax loss compared to a profit in the previous
corresponding quarter, mainly on loss of revenue from cancelled draws and fixed operating expenses incurred.
The group noted that from October, the government began implementing the National Recovery Plan, allowing the opening of businesses in phases. Since then, the economy has been showing signs of recovery.
Moving forward, BCorp’s directors are cautiously optimistic over its performance for the remaining quarters of the financial year ending June 30, 2022 amid the easing of travel and social restrictions.
BCorp CEO Jalil Rasheed stated that its hotel business was badly hit due to travel restrictions, but he is optimistic that there can be recovery if Malaysia’s borders reopen.
“Iceland opened up without quarantine and this doubled occupancy and increased average room rate for our 14 hotels there,” he said in a statement. “We look forward to Malaysia opening up so that tourism can start recuperating, and with that, our hotels and resorts business”