Thursday 28 Mar 2024
By
main news image

KUALA LUMPUR (Sept 27): MyNews Holdings Bhd has booked another quarterly loss RM14.92 million for the third quarter ended July 31, 2021 (3QFY21) on weaker retail performance, which also dragged its food processing division into the red.

This is the convenience store operator’s sixth consecutive quarter in the red, and also its biggest quarterly loss to-date, having booked RM10.32 million in losses in 2QFY21.

“In summary, MyNews’ third quarter 2021 performance was mainly affected by the ongoing Covid-19 pandemic and the long period of severe movement control orders,” it said.

Its jointly-controlled British retailer WH Smith was also in the red, as travel industry remains restricted, the group said.

On a year-on-year basis, the net loss, which came in at 2.19 sen per share, compares with a loss of RM6.09 million or 0.89 sen per share in 3QFY21.

Revenue came in 14.72% lower at RM93.89 million, versus RM110.1 million in the preceding quarter.

While gross profit margin improved slightly to 29.9% from 29.5%, construction of new outlets under South Korean brand CU was halted during the movement control order, while the group saw 16 fewer MyNews outlets from a year ago.

MyNews’ 3QFY21 net loss further widened for the nine-month period ended July to RM34.18 million or 5.01 sen per share, from RM4.07 million or 0.6 sen per share a year earlier.

Nine-month revenue fell 20.76% to RM296.5 million, from RM374.16 million previously.

MyNews said it is hopeful of a steady post pandemic recovery, as the country moves towards normalisation under the National Recovery Plan.

This hinges on efforts to expand omni-channel retail by collaborating with partners to deliver on-demand everyday goods and fresh foods to customers’ doorsteps, launching myNEWS SUPERVALUE to meet the demand of new norm consumers, and the addition of the CU brand.

Shares of MyNews rose 2.5 sen or 2.84% to 90.5 sen on Monday, valuing the group at RM617.35 million.

Edited ByS Kanagaraju
      Print
      Text Size
      Share