DFI Retail Group’s attributable underlying profit surged 30 per cent to $200.6 million last year despite revenue dipping 3 per cent to $8.87 billion.
However, the group posted a net loss attributable to shareholders of $244.5 million, mainly due to a $114 million loss on the divestment of its stake in the Yonghui supermarket business; a S$231 million impairment of interest in Robinsons Retail; and S$133 million goodwill impairment of the Macau and Cambodia Food businesses.
Convenience sales declined 2.6 per cent to $2.4 billion, impacted by a decline in lower-margin cigarette volumes after tax increases in Hong Kong at the end of February.
Food sales slid 4.7 per cent to $3.13 billion due to the divestment of the Malaysia Food business in 2023 and Hero Supermarket operation in Indonesia.
The company added that the increased outbound travel of Hong Kong residents to Mainland China affected food consumption for most of the year.
Home furnishings sales fell 11.7 per cent to $701.2 million as weak property market activity led to reduced customer traffic for DFI Retail’s Ikea franchise business.
In contrast, health and beauty sales rose 0.5 per cent to $2.46 billion.
Despite the attributable non-trading losses of $445 million, the group said it is now in a net cash position following the completion of Yonghui transaction last month.
“While challenges remain, we are cautiously optimistic about the outlook for 2025,” said Scott Price, DFI Retail CEO.
“By enhancing the local relevancy of our product offerings, deepening monetisation of our digital assets, and executing value-enhancing M&A transactions, we have put in place solid foundations in 2024, and we remain confident in driving sustained, profitable growth and shareholder returns in the years ahead.”
For this year, the group forecasts underlying profit attributable to shareholders to range from $230 million and $270 million, with an organic revenue growth of approximately 2 per cent.
Earlier, the company named Ella Chan as chief strategy officer, effective April 1. Chief digital officer Wee Lee Loh took on the additional role of Yuu Rewards officer.
