
KUALA LUMPUR (June 29): Newly listed RT Pastry Holdings Bhd (KL:RT) is targeting at least 10% annual sales growth as it expands its retail footprint beyond the Klang Valley while growing its wholesale and original equipment manufacturing (OEM) businesses.
Chief operating officer Tia Yu Hoo said the bakery chain operator expects demand for bakery products to remain resilient, supported by the continued expansion of both independent bakeries and retail chains.
“The bakery industry is still growing. There are more standalone bakeries as well as retail chains joining the industry, which means demand is growing. We expect sales to grow together with the market,” he told reporters after the company’s ACE Market listing ceremony on Monday.
For FY2025, RT Pastry recorded a revenue of RM60.31 million, gross profit of RM21.33 million and profit after tax attributable to owners of RM5.26 million, excluding the net gain from the disposal of its Balakong plant.
Bread products contributed RM28.59 million, or nearly half of total revenue, while pastry products generated RM27.80 million, making up another 46.08%.
To achieve the 10% revenue growth target, RT Pastry plans to open outlets in Pahang next year as its first expansion into the East Coast, where Tia said there are relatively few organised bakery chains despite growing demand.
He added that the group is also pursuing halal certification to better serve Muslim customers in the region.
Beyond retail expansion, Tia said RT Pastry is in discussions with wholesalers and corporate customers to expand its wholesale and OEM businesses.
Under the OEM model, the company will develop customised bakery products for corporate clients that are differentiated from products sold under the RT Pastry brand.
Here's a heads up on what to look out for today.
Founded more than two decades ago, the Seri Kembangan-based group operates 17 bakery outlets across the Klang Valley under the RT Pastry brand. It also manufactures bread, pastries, mooncakes and confectionery products from two production plants in Seri Kembangan and Shah Alam.
On its planned manufacturing expansion, Tia said the group aims to identify a suitable site for a new manufacturing facility by the fourth quarter of this year, before commencing the necessary development works.
Meanwhile, chief financial officer Ng Chai Ling said the group’s lower first-quarter net profit margin was mainly due to a higher effective tax rate arising from non-deductible expenses rather than weaker operations.
She said RT Pastry’s core operating profitability remained stable and broadly in line with the corresponding quarter last year.
Tia said the group has no immediate plans to expand overseas, with its current focus remaining on strengthening its domestic business.
Read also:
RT Pastry slips below IPO price on ACE Market debut
ACE Market-bound RT Pastry posts RM0.37m net profit for 1Q
RT Pastry’s ACE Market IPO oversubscribed by nearly 60 times
Bakery chain RT Pastry taking orders for IPO shares at 18 sen apiece
ACE Market-bound RT Pastry inks underwriting agreement with KAF Investment Bank
RT Pastry, bakery chain founded by a Taiwanese, files for ACE Market IPO for next phase of growth