KUALA LUMPUR: Optical trade participant Focus Point Holdings Bhd is eyeing to improve the contribution of its meals and beverage (F&B) phase to group revenue over the following two years.
Focus Point, by wholly owned unit Multiple Reward Sdn Bhd, ventured into the F&B sector in 2012 by way of Komugi, a premium Japanese bakery.
President and CEO Datuk Liaw Choon Liang stated the home-grown firm is in search of to develop the F&B phase’s revenue contribution relative to its optical phase.
With the ratio of optical to F&B revenue at 80:20 at present, he stated, there are alternatives to develop the phase.
“We consider that the present ratio of 80:20 will endure some changes within the coming yr or two, maybe shifting to 70:30 or 60:40,” he informed eNM.
He stated F&B is a comparatively new phase – 11 years outdated – in contrast with optical, which is celebrating its thirty fourth yr in enterprise.
The group has come a great distance because the opening of its first Focus Point outlet in Muar, Johor, in 1989 and its itemizing on the ACE Market in August 2010. In January this yr, it achieved a brand new milestone with the switch of its itemizing to the Main Market.
On its plans, Liaw stated the group has clear objectives for each its optical and F&B companies.
Focus Point is strengthening its optical presence primarily based on a number of demographic segments – the Focus Point model caters for patrons of all age teams, Focus Point Signature gives high-end merchandise, and Focus Point Outlet in addition to Whoosh provide a variety of designs at mounted and inexpensive costs.
The group additionally just lately launched Focus Point SightSavers, which Choon stated is focused at smaller second- and third-tier cities within the nation, comparable to Taiping and Muar.
Comparing Focus Point’s optical phase and Komugi, he stated there are about 190 Focus Point shops nationwide, whereas Komugi solely has 12 retailers within the Klang Valley and one in Negeri Sembilan.
According to him, the corporate’s aim is to obtain a balanced 50:50 revenue contribution from company and retail sectors in contrast with the present ratio of 60% for company and 40% retail.
He famous that Komugi is supplying pastry merchandise to massive company clients together with airways, coffee-chain eating places, cafes, comfort shops in addition to supermarkets.
On high of that, Focus Point will introduce a brand new model idea specializing in frozen yogurt, with the primary outlet to be opened in Mid Valley Megamall, Kuala Lumpur, subsequent yr.
Regarding capital expenditure allocation, Liaw stated Focus Point units apart between RM12 million and RM13 million for the optical phase, which is meant for the opening of recent retailers or refurbishment of current shops.
“We are taking a look at opening between 10 and 15 retailers for the optical phase subsequent yr,” he stated.
As for Komugi, he stated RM6 million to RM7 million is particularly put aside for the retailers.
“The capex allocation for F&B will probably be channelled in the direction of new gear and the upgrading of two central kitchens in Kota Damansara (Petaling Jaya), in addition to the opening of three to 4 new Komugi retailers,” Liaw stated, including that the brand new retailers will probably be within the Klang Valley.
Abroad, there are about 20 Komugi retailers within the Philippines and two retailers in Brunei, that are working below a grasp franchise licence.
On the monetary outcomes for the primary three quarters of this yr versus 2022, Choon stated final yr’s efficiency was fuelled by optimism from the reopening of the nation’s borders and extra money floating available in the market thanks to the Employees Provident Fund particular withdrawals.
Focus Point posted a internet revenue of RM19.67 million in Jan-Sept 2023 in contrast with RM25.40 million within the corresponding interval final yr.
He stated the RM248.82 million revenue generated in 2022 was among the many highest for the group, with the optical phase contributing RM202.64 million (up 81% year-on-year) and the F&B phase contributing RM36.89 million (up 15%). – eNM
