Sunday 10 Dec 2023
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KUALA LUMPUR (Dec 30): Berjaya Corp Bhd's (BCorp) net profit for the second financial quarter ended Oct 31, 2014 (2QFY15) jumped seven-fold to RM153.1 million from RM20.6 million a year ago. 

Revenue for 2QFY15 rose 46.2% to RM2.6 billion from RM1.8 billion in 2QFY14. 

In a filing with Bursa Malaysia this evening, BCorp attributed the increase in net profit to the investment related items of RM199.11 million, which "mainly comprised the recognition of gain arising from remeasurement of the 50% equity interest in Berjaya Starbucks Coffee Co Sdn Bhd (BStarbucks) previously held by the group".

"Overall there was an increase in operating profit mainly from the marketing of consumer products and services segment," it said. 

Segmentally, the motor distribution business recorded a higher pre-tax profit mainly due to higher revenue and improved gross profit margin in 2QFY15. 

The hotels and resorts business also reported a higher pre-tax profit mainly due to lower maintenance and operating expenses incurred in the current quarter, while the gaming business recorded a higher pre-tax profit mainly due to lower prize pay-out. 

"The property investment and development business reported lower pre-tax profit for the quarter under review mainly due to a revision of the overall costs required to complete the projects after incorporating current actual cost information," said the group in its filing. 

The restaurants and cafes business reported a higher pre-tax profit for 2QFY15 mainly due to the consolidation of the improved results of BStarbucks arising from more store openings and the contribution of the Brunei Starbucks operations. 

For the cumulative six months period (6MFY15), BCorp posted a net profit of RM161.4 million, more than doubled that of RM74.1 million a year ago. 

Revenue for 6MFY15 also increased 33.4% to RM5.1 billion from RM3.8 billion, "mainly contributed by an increase in revenue from marketing of consumer products and services segment". 

Looking ahead, BCorp expects the overall results for the financial year ending April 30, 2015 (FY15) to be better than previous years.

"There is a proposed disposal of 10,726.17 acres of freehold land in Selangor and placements of Berjaya Auto Bhd (BAuto) shares resulting in the reduction of the group's effective equity interest in BAuto to 36.7%," said BCorp. 

"The group would recognise a total substantial gain of about RM1 billion which comprises of gain on disposal subsidiary company and gain on remeasurement," it added.

BCorp shares ended the day 0.5 sen or 1.25% lower at 39.5 sen, giving it a market capitalisation of RM1.64 billion.

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