Business

Saturday August 18, 2012

Brahim’s Q2 net profit down


PETALING JAYA: Brahim’s Holdings Bhd recorded a lower net profit of RM1.4mil for its second quarter ended June 30, compared with RM2.6mil in the previous corresponding quarter. Revenue rose to RM47.7mil from RM45.9mil previously.

In a statement, the company attributed its higher revenue to the increase in short-haul flights by Malaysian Airlines (MAS) in its route-realignment programme.

“Although revenue from in-flight catering fell due to overall lower volume to MAS compared with last year, Brahim’s group revenue in the quarter was lifted by a substantial jump in contribution from its food and beverage division, as it enjoys the first full-year impact from its airport restaurant operation under Dewina Host Sdn Bhd, which Brahim’s acquired in July 2011,” it said.

In the statement, group executive chairman Datuk Ibrahim Ahmad Badawi said the airline industry continued to be affected by the current global economic uncertainty.

“In such an environment, we are also proactively implementing cost-cutting initiatives, reviewing our procurement practices and overhead costs to further streamline our operations.

Looks good: Brahim’s-LSG Sky Chefs preparing in-fl ight meals for MAS. Looks good: Brahim’s-LSG Sky Chefs preparing in-fl ight meals for MAS.

“Overall, we are satisfied with the group’s performance, knowing that we can only improve as Brahim’s transformation into a significant food-related group continues,” he said.

He said the company would be commencing with the construction of its 100,000 tonnes per annum sugar refinery in Kuching, and “pending our shareholders’ approval, we are also aiming to complete the acquisition of the remaining 49% of Brahim’s-LSG Sky Chefs Holdings Sdn Bhd by the end of September 2012.”

“Brahim’s will continue to seek out opportunities to expand our presence in food-related industries. Our niche and expertise in setting up and running the ‘halal’ flight kitchen has also given us a strong platform from which we can embark on the provision of ‘halal’ specialisation food services to regional and global markets. This is yet another strategy we intend to pursue,” he said.

For its six-month period ended June, its net profit was lower at RM2.06mil compared with RM4.94mil in the previous corresponding period.

Revenue for the half year was higher at RM92.50mil compared with RM90.42mil previously.

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