KUALA LUMPUR, June 25 — Leong Hup International Bhd (LHI) aims to have 280 Baker’s Cottage outlets in Malaysia by the end of 2023 and expects the bakery chain to contribute RM400 million in revenue or at least six per cent of group revenue by 2023.
Executive director and group chief executive officer Tan Sri Lau Tuang Nguang said the group believes that the target is achievable as the group continues to ramp up outlet openings and sales volume.
Despite the Covid-19 pandemic, group revenue was stable at RM6.04 billion in the financial year ended Dec 31, 2020 versus RM6.05 billion in the previous year.
“Baker’s Cottage growth is progressing as planned and that is a good sign for the company.
“Looking at 280 outlets by 2023, we believe that RM400 million per year in revenue contribution by Baker’s Cottage is achievable,” he said during the virtual media briefing after its 7th annual general meeting today.
Meanwhile, non-independent executive director and chief executive officer of Malaysia operations Lau Joo Han said 136 outlets have opened to date and the group is targeting 160 Baker’s Cottage outlets by end of this year.
“From May last year until today, we have increased by 95 outlets in just one year’s time. We hope that by end of this year we can hit RM200 million in revenue for Baker’s Cottage,” he said.
LHI’s net profit for the first quarter ended March 31, 2021 (Q1 2021) rose to RM70.33 million from RM21.79 million in the same quarter last year.
With improving operating environment and with Covid-19 vaccination being rolled out by governments across the region, barring unforeseen circumstances, the company is optimistic of its performance in 2021. — Bernama
