KUALA LUMPUR (Aug 27): Berjaya Food Bhd (KL:BJFOOD) ended its 2025 financial year with its worst quarterly and annual earnings since its 2011 listing, hit by impairments on Starbucks Malaysia’s outlets amid a widespread consumer boycott due to the prolonged Middle East conflict.

Net loss for its fourth quarter ended June 30, 2025, jumped to RM185.79 million, nearly five times the RM38.2 million it incurred in the fourth quarter of the previous year, as revenue fell 10% to RM115.9 million from RM130.57 million.

Its bottom line was primarily dragged by impairment charges on property, plant and equipment (PPE) and right-of-use (ROU) assets, which amounted to RM149.88 million, following the downsizing of its Starbucks Malaysia operations.

No dividend was declared. It paid 0.44 sen per share for FY2024 and 3.5 sen for FY2023.

The group's annual net loss for FY2025 widened to RM291.99 million — more than triple the RM90.92 million net loss it recorded for FY2024 — as revenue dropped 36.5% to RM476.77 million from RM750.7 million.

Berjaya Food, which operates the Starbucks Coffee brand in Malaysia and Brunei, Kenny Rogers Roasters in Malaysia and Paris Baguette in the Philippines, said it remains focused on consolidating its local store network while diversifying into overseas markets to strengthen its foundation for sustainable growth.

“Looking ahead, the group is committed to creating long-term value through innovation, digital transformation and stronger customer engagement,” it said, adding that it aims to enhance brand equity, improve financial performance and drive international expansion to unlock greater shareholder value.

Shares of Berjaya Food, which have fallen over 15% year-to-date, closed unchanged at 29.5 sen. This gives the group a market capitalisation of RM564.98 million.