Sakae posts FY2019 net loss of S$13.4m

SAKAE Holdings on Thursday posted a net loss of S$13.4 million for the financial year ended June 30, after recognising a goodwill impairment of S$3.2 million connected to its purchase of a 51 per cent equity interest in Cocosa Export.

In addition, it recorded an impairment loss of S$2.8 million under other receivables.

Revenue plunged 52.8 per cent to S$44.4 million for the year, compared to S$94.2 million for the 18 months ended June 30, 2018. The sushi restaurant operator said that this came from streamlining operations, which resulted in reduction of revenue as well as cost of sales and labour costs.

By managing the use of raw materials for its restaurant business, Sakae maintained its gross profit margin at 62.8 per cent despite rising prices, the group said.

Loss per share was 9.61 Singapore cents, in contrast with earnings per share of 3.05 Singapore cents in the previous 18-month period.

Sakae shares closed unchanged at S$0.085 on Thursday.