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The retailer operating 144 fashion and beauty brand stores across Singapore, Malaysia and Indonesia recorded a net profit of 3 million Singapore dollars (US $2.14 million) in the year to June 30, a reversal of a 10.9 million net loss in the previous year.
The result marked the company’s first significant profit in six trading years; the only other time it finished in the black being in 2019 when it made just about $126,524.
FJ Benjamin group CEO Nash Benjamin said the economies of all three markets are recovering and that customers are returning to malls across the Southeast Asia region. The company closed 21 underperforming stores and opened seven during the pandemic period.
“Although our revenue is not fully back to pre-Covid-19 levels, especially in Singapore, with tourist arrivals growing, we are cautiously optimistic that the strong momentum seen in the second half of FY22 can be maintained barring any unforeseen circumstances,” he said.
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FJ Benjamin retails 18 international brands, including fashion and accessories labels La Senza, Pretty Ballerinas, Rebecca Minkoff, Cole Haan, Lancel, Guess and Superdry, beauty brands Dr. Barbara Sturm and MZ Skin, and watch brands Baume & Mercier and Casio.
The company launched an e-commerce business in 2020 and now sells 14 brands online. During the last financial year, e-commerce accounted for 6 percent of sales in Singapore and 3 percent in Malaysia.
In January of this year, property developer Far East Organization boosted its stake in FJ Benjamin by 9.3 percent to 16.7 percent through the placement of 120 million new shares, which raised $2 million in working capital. This helped strengthen the company’s balance sheet, with net borrowings down from $7.6 million at the end of June 2021 to $2.9 million this year.
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