BEST World International : CGN 0%’s payment of management and staff incentives relating to FY2022, sales-related expenses and income tax for FY2022 led it to post S$45.3 million in net cash outflow from operations for the first quarter of 2023.

In a response statement to Singapore Exchange (SGX) queries filed by the skincare firm on Wednesday (Jun 21), these payments were cited to explain why it did not have net cash inflow from operating activities when the group had a net profit of S$20.5 million for the three months to March. The earnings were, however, 25.7 per cent lower year on year, as a result of a 30.8 per cent dip in top line to S$80 million. The lower turnover, it noted, was mainly due to lower contributions from its franchise segment, which was partly caused by slower consumer spending.

Best World provided a breakdown of other payables to third parties amounting to S$76.1 million as at end-March, in response to another SGX query. The firm said that its other payables included value added tax payables and payables owing to non-trade parties relating to convention and marketing events, commissions as well as service fees to third-party promotional companies for its franchise segment.

Best World shares closed down 1.1 per cent to S$1.79 on Wednesday, before responses to SGX queries were published.