KUALA LUMPUR (May 23): DBE Gurney Resources Bhd expects a "good turnaround" within two years, as the loss-making poultry group opens more restaurants, kiosks and food trucks under the HARUMi system, DBE managing director Dato Alex Ding Seng Huat said.
Ding said today that DBE aims to have 30 restaurants and signature outlets under the HARUMi system by 2020, besides 3000 kiosks and 300 food trucks.
At present, DBE has eight restaurants and signature outlets, 220 kiosks and five food trucks under under the HARUMi brand, he said.
"The group also plans to grow its overseas market for HARUMi. Its target is to have 50 HARUMi restaurants across China, Taiwan, Indonesia and Thailand by 2020," Ding said at a signing ceremony and press conference involving DBE's overseas business strategy here.
In a statement to Bursa Malaysia, DBE said it had today (May 23, 2018) entered into a joint venture (JV) agreement with Farmmesh Foods Co, LTD (FFCL) to jointly establish a private limited company for the exclusive purpose of running a chain of quick service restaurants in Thailand under the HARUMi system.
The JV company will be known as “Super Harumi Thailand” or any other name as agreed by the shareholders, the statement said.
DBE said its wholly-owned subsidiary DBE Poultry Sdn Bhd will own 30% in the JV company, while FFCL will have the remaining 70%.
"The JV business will enable DBE to expand its retailing business through HARUMi products. This JV business would allow its HARUMi brand to expand to Thailand, following its early expansion into Taiwan, in addition to the exiting outlets in Malaysia.
"As such, the JV business is in line with DBE’s intention to increase its market presence both in the local and international poultry industry," DBE added.
At Bursa Malaysia today, DBE shares settled 0.5 sen or 14% lower at three sen at 12:30pm. The stock saw 1.28 million shares traded. For financial year ended Dec 31, 2017 (FY17), DBE said it posted a net loss of RM20.31 million, versus a net profit of RM250,000 a year earlier.