Financial Performance - Revenue for the six months ended June 30, 2022, was SGD 21,912,000, an increase of 17.6% compared to SGD 18,591,000 for the same period in 2021[5] - The net profit for the period was SGD 1,317,000, slightly up from SGD 1,313,000 in the previous year, reflecting a growth of 0.3%[5] - Operating cash flow for the six months was SGD 4,964,000, a significant increase from SGD 2,731,000 in the same period last year, representing an 81.7% growth[14] - Revenue for the six months ended June 30, 2022, was SGD 21,912,000, an increase of 17.7% compared to SGD 18,591,000 in the same period of 2021[5] - Revenue from the sale of prepared food, beverages, and tobacco products was SGD 16,269,000, up from SGD 14,498,000, reflecting a growth of 12.2%[5] - Other income increased to SGD 18,119,000 from SGD 15,658,000, representing a growth of 15.7%[5] - The company's pre-tax profit for the six months ended June 30, 2022, was SGD 1,317,000, slightly up from SGD 1,313,000 in the same period of 2021[54] Assets and Liabilities - Total assets as of June 30, 2022, amounted to SGD 175,211,000, compared to SGD 155,481,000 as of December 31, 2021, indicating a growth of 12.7%[10] - Non-current liabilities increased to SGD 99,375,000 from SGD 81,284,000, marking a rise of 22.3%[11] - The total assets of the group amounted to SGD 185,822 thousand, with segment assets for rental and shop management at SGD 149,283 thousand and food stall operations at SGD 12,157 thousand[36] - The total borrowings as of June 30, 2022, amounted to SGD 94,067,000, an increase from SGD 76,785,000 as of December 31, 2021, reflecting a growth of 22.5%[64] - The total outstanding bank loans increased by approximately SGD 16.7 million or 20.6% to about SGD 97.9 million, mainly due to financing for acquisitions[94] - The capital-to-debt ratio increased to approximately 133.6% as of June 30, 2022, compared to 112.9% at the end of 2021, primarily due to increased borrowings[97] Equity and Earnings - The total equity as of June 30, 2022, was SGD 73,217,000, up from SGD 71,900,000, reflecting a growth of 1.8%[11] - The company reported a basic and diluted earnings per share of 0.16 Singapore cents, unchanged from the previous year[5] - Employee costs for the group totaled SGD 5,232 thousand, with SGD 885 thousand attributed to rental and shop management and SGD 3,137 thousand to food stall operations[42] - Employee costs, including directors' remuneration, rose to SGD 5,544,000 from SGD 4,922,000, an increase of 12.6%[49] Cash Flow and Expenses - The company incurred finance costs of SGD 764,000, a decrease from SGD 864,000 in the previous year, showing a reduction of 11.5%[5] - The total interest expense for bank loans was SGD 764,000, down from SGD 864,000, indicating a decrease of 11.5%[46] - Total operating expenses increased due to rising labor costs and utility expenses, with employee costs rising by approximately SGD 0.7 million or 13.5%[84] - Other operating expenses rose by approximately SGD 1.0 million or 71.4% to about SGD 2.4 million, attributed to higher property tax and legal fees from the acquisition of First Capital Pte Ltd[90] - Financial costs decreased by approximately SGD 0.1 million or 11.1% to about SGD 0.8 million, mainly due to refinancing existing loans at lower interest rates[92] Inventory and Receivables - Inventory levels decreased to SGD 147,000 from SGD 166,000, a decline of 11.4%[10] - Trade receivables as of June 30, 2022, were SGD 350,170,000, compared to SGD 215,133,000 as of December 31, 2021, showing a significant increase[57] - The average credit period for customers was reported to be 7 days, indicating efficient receivables management[58] Operational Segments - The segment profit for rental and shop management was SGD 1,549 thousand, while the profit for food stall operations was SGD 1,481 thousand, resulting in an overall segment loss of SGD 1,566 thousand[36] - Revenue from management, cleaning, and utility services increased by approximately SGD 0.7 million or 58.3% to about SGD 1.9 million, driven by new operations at Lazada One and United Square[81] - Rental income from leasing properties to tenants rose by approximately SGD 0.9 million or 31.0% to about SGD 3.8 million, contributing to the overall revenue growth[81] Corporate Governance and Compliance - The group’s financial statements are prepared in accordance with the International Accounting Standards and the Hong Kong Stock Exchange Listing Rules[22] - The company has maintained compliance with corporate governance codes throughout the reporting period[111] - The company has no related party transactions that require disclosure under listing rules during the reporting period[106] - The company has no financial assistance or guarantees provided to associated companies during the reporting period[107] Share Issuance and Proceeds - The net proceeds from the share issuance amounted to approximately HKD 110 million after deducting related listing expenses[98] - As of June 30, 2022, the company utilized HKD 105.433 million of the net proceeds, leaving a balance of HKD 4.567 million[99] - The company allocated 32% of the net proceeds (HKD 35.530 million) for the purchase of food centers[99] Staffing and Employment - The company employed 351 staff as of June 30, 2022, an increase from 304 staff as of December 31, 2021[108] - The company has adopted a share option scheme since February 1, 2019, with no unexercised options as of June 30, 2022[113] Dividends - The company did not declare any interim dividend for the reporting period, consistent with the previous year[51] - No interim dividend was recommended by the board during the reporting period[131]

COVID-19 Impact and Response - In FY2021, 85% of Singapore's population received two doses of the COVID-19 vaccine, with 42% receiving a booster shot, allowing for a gradual lifting of restrictions[20]. - The company adjusted workflows and resources to meet increased demand from employees working from home, benefiting from food establishments located in residential areas[27]. - There was a notable increase in demand for food delivery services as employees sought convenience, leading the company to maintain ongoing relationships with established food delivery platforms[29]. - The management continually reviewed operations to drive efficiencies amidst frequent regulatory changes due to the pandemic[21]. - The company reported a significant operational review in response to the challenges posed by the COVID-19 pandemic[21]. - The management emphasized a long-term focus on growth despite the uncertainties and challenges faced during the pandemic[21]. - The company leveraged the experience of its directors and management to respond quickly to the evolving situation during the pandemic[21]. - The company has ceased all community activities requiring physical contact due to the pandemic and has instead supported community events such as the annual Chinese New Year light-up and food voucher distribution[61][62]. - The company expressed gratitude to the Singapore Government for continued financial support during uncertain times, which helped mitigate the economic impact of COVID-19 on employees' livelihoods[64]. - The company acknowledged the hard work and resilience of all stakeholders in overcoming challenges posed by the pandemic in 2021[63]. Financial Performance - The Group recorded a consolidated revenue of approximately S$37.4 million for FY2021, an increase of approximately 7.1% from S$34.9 million in FY2020[50]. - The net profit after tax for FY2021 was approximately S$4.6 million, representing an increase of approximately 109.1% from S$2.2 million in FY2020[52]. - The increase in profit after tax was primarily due to a higher revenue of approximately S$2.5 million and a reversal of net loss on fair value changes of investment properties[52]. - The Group generated an operating cash flow of approximately S$6.9 million, with cash and cash equivalents as of December 31, 2021, amounting to approximately S$7.9 million[53]. - Revenue for FY2021 was approximately S$37.4 million, an increase from S$34.9 million in FY2020, primarily driven by higher rental income and sales of cooked food, beverages, and tobacco products[1]. - Revenue from the sale of cooked food, beverages, and tobacco products increased by approximately S$0.6 million or 2.3%, from S$28.3 million in FY2020 to S$28.9 million in FY2021[1]. - Rental income rose by approximately S$1.5 million or 32.0%, from S$4.5 million in FY2020 to S$6.0 million in FY2021, attributed to new operations and reduced rental rebates[1]. - Revenue from management, cleaning, and utilities services increased by approximately S$0.4 million or 18.1%, from S$2.1 million in FY2020 to S$2.5 million in FY2021[1]. - The overall financial performance reflects a recovery trend post-COVID-19, with strategic expansions and operational improvements contributing to revenue growth[1]. Strategic Growth and Expansion - The company focused on expanding its portfolio of food establishments to provide more choices for customers in the new normal[21]. - The company acquired a new headquarters and central kitchen to support its operational needs and expansion plans[26]. - The total investment for the new headquarters and central kitchen in Singapore is about S$22.2 million, with completion expected in approximately 2½ years[30]. - The acquisition of a shop unit in a mixed development was completed in September 2021 for a total consideration of S$7.3 million[31]. - A shophouse was acquired in January 2022 for S$4.8 million, with completion expected in June 2022[32]. - Long-term leases have been established for food courts in high-traffic areas to enhance market presence[39][40]. - The Group aims to increase market share through strategic acquisitions and leases, anticipating revenue and profit growth[40]. - The Group plans to divest underperforming assets to unlock capital and reinvest in F&B businesses and complementary growth areas[128]. - The strategy includes acquiring popular F&B businesses and brands to enhance product offerings[128]. - The Group aims to expand its presence in Singapore by opening new food establishments[128]. - Renovation of existing food centres is planned to improve the dining experience[128]. Leadership and Governance - The company has a strong leadership team with over 19 years of experience in the food and beverage industry[72][79]. - Mr. Wong has over 31 years of banking experience, specializing in syndicated loans, project financing, structured trade financing, and mergers and acquisitions[91]. - Mr. Mah has over 21 years of industry experience, having held managerial positions in various sectors including entertainment content production and private equity fund management[100]. - Mr. Ng has extensive experience in business development, sales and marketing, mergers and acquisitions, and corporate planning, supported by over 30 years in the industry[104]. - K2 F&B Holdings Limited continues to strengthen its board with experienced professionals to enhance governance and strategic direction[108]. Community Engagement and Corporate Responsibility - The company aims to foster a corporate culture that encourages integrity, accountability, communication, teamwork, and innovation[62]. - The company is committed to being a good corporate citizen and actively participating in the communities where it operates[62]. - The company has established community scholarships for students and donated to Sian Chay Medical Institution to subsidize patients' medication expenses[61][62]. - The company has expressed appreciation for the ongoing trust and support from suppliers, clients, landlords, tenants, and other stakeholders[66]. - The company has a strategic vision to grow its businesses and looks forward to a brighter future[65]. Operational Challenges and Market Outlook - The ongoing pandemic and geopolitical tensions have led to increased business costs and uncertainties in the food and beverage industry[47][49]. - The outlook for 2022 remains uncertain due to factors such as public health measures, higher inflation in the food and beverage sector, and increasing operating expenses[128]. - The Group's financial review will provide insights into revenue performance and operational efficiency[130]. - The Group did not experience significant operational difficulties due to foreign exchange fluctuations during FY2021[178].

Financial Performance - Revenue for the six months ended June 30, 2021, was SGD 18,591,000, an increase of 14.7% compared to SGD 16,208,000 for the same period in 2020[9] - The net profit for the period was SGD 1,313,000, representing a 33.1% increase from SGD 986,000 in the previous year[9] - Basic and diluted earnings per share increased to SGD 0.16 from SGD 0.12, reflecting a growth of 33.3%[9] - Total revenue for the six months ended June 30, 2021, was SGD 18,591,000, an increase from SGD 16,208,000 in the same period of 2020, representing a growth of approximately 14.7%[59] - Revenue from customer contracts for the sale of prepared food, beverages, and tobacco products was SGD 14,498,000 for the six months ended June 30, 2021, compared to SGD 13,026,000 in 2020, reflecting an increase of about 11.3%[59] - Rental income from leasing premises amounted to SGD 2,933,000 for the six months ended June 30, 2021, up from SGD 2,108,000 in the previous year, indicating a growth of approximately 39.1%[59] - The group reported a segment profit of SGD 1,713,000 from the rental and shop management segment for the six months ended June 30, 2021, compared to a loss of SGD 800,000 in the same period of 2020[52] - The company reported a pre-tax profit of approximately 1,313,000 SGD for the six months ended June 30, 2021, compared to 986,000 SGD for the same period in 2020, representing a year-over-year increase of 33.1%[68] Assets and Liabilities - Total assets as of June 30, 2021, were SGD 139,503,000, compared to SGD 138,888,000 as of December 31, 2020, showing a slight increase[12] - The company’s total borrowings stood at 74,653,000 SGD as of June 30, 2021, slightly up from 74,289,000 SGD at the end of 2020[78] - As of June 30, 2021, total current assets were approximately SGD 10.5 million, down from SGD 14.3 million as of December 31, 2020[104] - The group's net current asset value decreased by approximately SGD 4.2 million, primarily due to the full repayment of a mortgage loan[105] - The group’s assets pledged for bank loans were approximately SGD 125,468,000 as of June 30, 2021, down from SGD 133,370,000 on December 31, 2020[115] Cash Flow and Financial Costs - Cash and cash equivalents decreased to SGD 6,272,000 from SGD 10,203,000, indicating a decline of 38.5%[19] - Operating cash flow for the six months was SGD 2,731,000, a marginal increase from SGD 2,705,000 in the same period last year[19] - Financial costs increased to SGD 864,000 from SGD 804,000, representing a rise of 7.5%[9] - The financial costs for the six months ended June 30, 2021, totaled SGD 804,000, compared to SGD 784,000 in the same period of 2020[44] - Financial costs rose from approximately SGD 0.8 million in the first half of 2020 to SGD 0.9 million in the reporting period, an increase of about 7.5%[103] Employee Costs - Employee costs rose to SGD 5,232,000 from SGD 4,426,000, marking a 18.2% increase[9] - Employee costs, including directors' remuneration, increased to 5,232,000 SGD in the first half of 2021 from 4,426,000 SGD in the same period of 2020, reflecting a rise of 18.2%[63] - Employee costs increased by approximately SGD 0.8 million or 18.2%, accounting for about 28.1% of total revenue in the reporting period[97] - The company maintained a workforce of 307 employees as of June 30, 2021, an increase from 304 employees on December 31, 2020[118] Receivables and Payables - The company reported a decrease in trade and other receivables to SGD 298,000 from SGD 824,000, a decline of 63.8%[12] - Trade receivables decreased significantly to 298,000 SGD as of June 30, 2021, from 824,000 SGD at the end of 2020, a decline of 63.8%[71] - Trade payables also decreased to 1,913,000 SGD as of June 30, 2021, down from 2,395,000 SGD at the end of 2020, a reduction of 20.1%[75] Corporate Governance and Compliance - The board of directors confirmed compliance with the corporate governance code throughout the reporting period[121] - The audit committee reviewed the accounting standards and policies adopted by the group during the reporting period[144] Dividends and Share Options - The company did not declare any interim dividends for the reporting period, consistent with the previous year[65] - No interim dividend was declared during the reporting period[142] - The company has adopted a share option scheme since February 1, 2019, with no unexercised options as of June 30, 2021[123] Economic Environment and Strategy - The group plans to use the remaining net proceeds conservatively due to the economic impact of COVID-19[112] - The group continues to operate its core business in Singapore, focusing on food centers and restaurant management despite challenges posed by the COVID-19 pandemic[88] - The group operates primarily in Singapore, with no significant revenue derived from other geographical regions[55] - There are no single major customers contributing over 10% of the total revenue, indicating a diversified customer base[54] Risk Management - The group closely monitors foreign exchange risks and considers hedging when necessary[114]

COVID-19 Impact and Response - The Group faced unprecedented challenges due to COVID-19, with the Singapore Government implementing strict containment measures from April 7, 2020, to June 1, 2020[50]. - During the Circuit Breaker period, all food establishments were limited to takeaway or delivery services only[51]. - The progressive lifting of restrictions began on June 2, 2020, allowing businesses with lower transmission risks to reopen under safe management measures[52]. - By December 28, 2020, Singapore entered the third phase of lifting restrictions, increasing the group size for dine-in from 5 to 8 persons[52]. - The annual report for the year ended December 31, 2020, was presented to shareholders, highlighting the impact of the pandemic on operations[50]. - The Group's financial performance and strategic responses to the pandemic will be detailed in the Management Discussion and Analysis section[48]. - Future outlook and guidance will be provided, focusing on recovery strategies post-COVID-19[48]. - The Group is exploring new product development and market expansion opportunities as part of its recovery strategy[48]. - The Company emphasizes the importance of adapting to changing market conditions and consumer behaviors in the post-pandemic landscape[48]. Financial Performance - For FY2020, the Group recorded a consolidated revenue of approximately S$34.9 million, a decrease of approximately 16.9% from S$42.0 million in FY2019[67]. - The Group's consolidated net profit for FY2020 was approximately S$2.2 million, a decrease of approximately 57.5% from S$5.2 million in FY2019[69]. - The decline in revenue was mainly due to lower sales from cooked food, beverages, and tobacco products caused by COVID-19, along with the termination of the food street in the shopping district[67]. - The Group generated an operating cash flow of approximately S$7.7 million, with cash and cash equivalents as of December 31, 2020, at approximately S$10.2 million[71]. - The Group's revenue decreased by approximately S$7.1 million or 16.9%, from approximately S$42.0 million for FY2019 to approximately S$34.9 million for FY2020, primarily due to lower sales from cooked food, beverages, and tobacco products as a result of the COVID-19 pandemic[155]. - Rental income from leasing premises to tenants fell by approximately S$1.0 million, or 17.9%, from approximately S$5.5 million in FY2019 to S$4.5 million in FY2020, mainly due to rental rebates of approximately S$1.2 million provided to tenants as part of COVID-19 relief measures[159]. Management and Leadership - Mr. Chu has over 18 years of experience in the food and beverage industry, having been with the Group since 2004 and serving as CEO since 2018[85]. - Ms. Leow has over 18 years of experience in the food and beverage industry and has been with the Group since January 2004, primarily responsible for day-to-day operations[89]. - Ms. Chu Pek Si was appointed as an executive Director on October 10, 2020, and is responsible for mergers & acquisitions and property management initiatives[90]. - Mr. Wong has over 30 years of banking experience, including expertise in syndicated loans, project financing, and mergers and acquisitions[102]. - The Group's management team includes family members, with Mr. Chu and Ms. Leow being spouses and both serving as executive Directors[88]. - The Group has a strong focus on strategic planning and operational management, led by experienced executives[88]. - The company has been involved in the food and beverage industry through various businesses since 1993, indicating a long-standing presence in the market[85]. - The Group's operational strategies are supported by a dedicated management team with diverse backgrounds in finance and operations[102]. Strategic Plans and Future Outlook - The Group plans to divest underperforming assets and reinvest in F&B businesses and other synergistic growth opportunities[56]. - The Group aims to respond to fast-evolving market trends by re-evaluating its business strategies[56]. - The Group aims to acquire popular F&B businesses and brands to enhance its product offerings[151]. - Future strategies include expanding the business network in Singapore through the opening of new food establishments[151]. - The Group will also focus on renovating existing food centres to improve the dining experience[152]. - The outlook for 2021 remains uncertain due to ongoing COVID-19 challenges, making it difficult to predict future impacts[146]. Operational Metrics - As of December 31, 2020, the Group owned and managed 19 food centres, unchanged from the previous year[139]. - The Group operated 37 food and beverage stalls as of December 31, 2020, a decrease from 40 stalls in FY2019[142]. - During FY2020, the Group opened 3 new food and beverage stalls but closed 6, resulting in a total of 37 stalls by year-end[145]. Cost Management - The cost of inventories consumed decreased by approximately S$3.0 million, or 18.1%, from approximately S$16.5 million in FY2019 to approximately S$13.5 million in FY2020, aligning with the revenue decline[172]. - Staff costs decreased by approximately S$3.4 million, or 29.4%, from S$11.7 million in FY2019 to S$8.3 million in FY2020, representing 28.0% and 23.8% of revenue for the respective periods[173]. - Property rentals and related expenses decreased by approximately S$1.5 million, or 34.4%, from approximately S$4.3 million in FY2019 to approximately S$2.8 million in FY2020, due to rental rebates and non-renewal of food establishments[178]. - Management, cleaning, and utilities expenses decreased by approximately S$0.4 million, or 23.2%, from approximately S$1.8 million in FY2019 to approximately S$1.4 million in FY2020, attributed to fewer food establishments managed and reduced electricity expenses[179]. - Other operating expenses increased by approximately S$0.1 million, or 5.3%, from approximately S$2.7 million in FY2019 to approximately S$2.8 million in FY2020, mainly due to increased repairs and maintenance costs[180]. Governance and Compliance - The company emphasizes independent judgment in policy and resource management through its board committees[101]. - The Group's leadership structure includes a mix of family and independent directors, ensuring a balance of interests and expertise[104]. - Mr. Loh was appointed as an independent non-executive Director on February 1, 2019, and serves as the chairman of the Remuneration Committee and the Internal Control Compliance Committee[108]. - Mr. Mah was appointed as an independent non-executive Director on February 1, 2019, and is the chairman of the Audit Committee[116]. - Mr. Cui has over 13 years of work experience in accounting and finance, having held various positions in reputable firms including Ernst & Young LLP and Mapletree Logistics Trust Management Ltd[128]. - K2 F&B Holdings Limited's management team includes experienced professionals with backgrounds in finance, law, and corporate governance[120]. - The company secretary, Mr. Man, holds a bachelor's degree in business administration and management and a master's degree in corporate governance[121]. - Mr. Loh has served as an independent director for multiple listed companies, enhancing the board's governance and oversight capabilities[114]. - The company is focused on strategic planning and internal control, as evidenced by the roles of its senior management team[126]. - The board includes members with extensive experience in various sectors, contributing to informed decision-making and policy development[116]. - The company emphasizes compliance with SGX-ST reporting requirements, as demonstrated by Mr. Cui's previous roles[128]. - The management team is committed to maintaining high standards of accountability and resource management[116].

Financial Performance - Revenue for the six months ended June 30, 2020, was SGD 16,208 thousand, a decrease of 24.5% compared to SGD 21,514 thousand for the same period in 2019[7] - The net profit for the period was SGD 986 thousand, compared to a loss of SGD 1,166 thousand in the first half of 2019, representing a turnaround[7] - Total revenue for the six months ended June 30, 2020, was 16,208 thousand Singapore dollars, with 13,026 thousand from shop management and 3,182 thousand from food stall operations[51] - Customer contract revenue for the six months ended June 30, 2020, was SGD 16,208,000, a decrease of 24.8% from SGD 21,514,000 in the same period of 2019[72] - The company reported a pre-tax profit of approximately SGD 986,000 for the six months ended June 30, 2020, compared to a loss of SGD 1,166,000 in the same period of 2019[81] Cash Flow and Assets - Operating cash flow for the six months was SGD 2,705 thousand, an increase from SGD 1,441 thousand in the same period last year[17] - Total assets as of June 30, 2020, were SGD 135,503 thousand, up from SGD 118,515 thousand as of December 31, 2019[12] - Cash and cash equivalents at the end of the period were SGD 10,483 thousand, down from SGD 11,688 thousand at the beginning of the period[17] - Trade receivables as of June 30, 2020, were SGD 213,000, a decrease of 59.8% from SGD 529,000 at the end of 2019[83] - The group's current assets decreased from SGD 15,574,000 on December 31, 2019, to SGD 14,187,000 on June 30, 2020, a reduction of approximately 8.9%[129] Liabilities and Borrowings - Non-current liabilities increased to SGD 69,375 thousand from SGD 53,373 thousand at the end of 2019, primarily due to increased borrowings[13] - The group reported total liabilities of 83,280 thousand Singapore dollars, with segment liabilities of 73,987 thousand for shop management and 2,972 thousand for food stalls[51] - The company’s interest-bearing loans as of June 30, 2020, amounted to SGD 77,575,000, an increase from SGD 56,151,000 at the end of 2019[94] - Total outstanding bank borrowings rose from approximately SGD 56.2 million to SGD 77.6 million, an increase of SGD 21.4 million or 38.2%[130] - Current liabilities increased significantly from SGD 10,045,000 to SGD 13,905,000, representing a rise of about 38.5%[129] Operational Highlights - The company plans to focus on market expansion and new product development in the upcoming quarters[6] - The group operates two main business segments: shop management and food stall operations, focusing on leasing and management services[44] - Employee costs for the shop management segment were 3,294 thousand Singapore dollars, reflecting the operational expenses incurred during the period[51] - Employee costs for the six months ended June 30, 2020, were SGD 4,124,000, down from SGD 6,085,000 in the previous year, reflecting a reduction of 32.3%[76] - The company acquired property, plant, and equipment at a cost of approximately SGD 118,000 during the reporting period, significantly lower than SGD 3,003,000 in the same period of 2019[82] COVID-19 Impact - The group recognized a rental reduction of 236,000 Singapore dollars due to COVID-19 related rent concessions during the reporting period[43] - For the six months ended June 30, 2020, the company's revenue decreased by approximately SGD 5.3 million or 24.7% to about SGD 16.2 million, primarily due to the nationwide lockdown in Singapore to curb COVID-19 transmission[111] - Rental income from leasing properties to tenants decreased by approximately SGD 0.7 million or 23.8% to about SGD 2.1 million, mainly due to the temporary closure of food courts and rental concessions provided to tenants[114] - Employee costs decreased by approximately SGD 1.7 million or 27.3%, attributed to government employment support measures during the COVID-19 outbreak[118] - Property rental and related expenses decreased by approximately SGD 1.1 million or 42.8% to about SGD 1.5 million, mainly due to rental concessions provided by landlords during the COVID-19 outbreak[119] Shareholder Information - The company did not recommend any interim dividend for the reporting period, consistent with the previous year[78] - The board resolved not to declare any interim dividend during the reporting period[169] - The company maintained the required percentage of public float as per listing rules as of the report date[170] - The company expressed gratitude to shareholders, business partners, and customers for their continued support[172] Governance and Compliance - The audit committee reviewed the accounting standards and policies adopted by the group during the reporting period[171] - There were no changes in the disclosed information regarding directors as of the report date[153] - No rights were granted to directors or their family members to acquire shares or bonds during the reporting period[166]

Financial Performance - For FY2019, the Group recorded a revenue of approximately S$42.0 million, a decrease of approximately 7% from S$45.0 million in FY2018, primarily due to the closure of one top-performing food outlet and five food stalls[30]. - The Group achieved a consolidated net profit of approximately S$5.2 million in FY2019, an increase of approximately 29% from S$4.0 million in FY2018, largely attributed to fair value gains of the Group's properties[30]. - The Group recorded a revenue decrease of approximately S$3.0 million or 6.7%, from approximately S$45.0 million in FY2018 to approximately S$42.0 million in FY2019[94]. - Revenue from the sale of cooked food, beverages, and tobacco products decreased by approximately S$2.8 million or 7.6%, from approximately S$36.9 million in FY2018 to approximately S$34.1 million in FY2019[98]. - Rental income from leasing premises to tenants decreased by approximately S$0.2 million or 2.4%, from S$8.1 million in FY2018 to S$7.9 million in FY2019[104]. - The cost of inventories consumed decreased by approximately S$0.7 million or 4.1%, from approximately S$17.2 million in FY2018 to approximately S$16.5 million in FY2019[114]. - Staff costs amounted to approximately S$11.7 million in FY2019, representing 28.0% of revenue, an increase of 1.9% from S$11.5 million in FY2018[115]. - Property rentals and related expenses decreased by approximately S$1.9 million, or 30.9%, from S$6.2 million in FY2018 to S$4.3 million in FY2019, primarily due to the purchase of a food center[115]. - Finance costs increased from approximately S$1.2 million in FY2018 to S$1.4 million in FY2019, reflecting a 12.2% rise due to additional loans for property acquisitions[120]. - Profit after tax increased by approximately S$3.0 million, or 151.2%, from S$2.1 million in FY2018 to S$5.1 million in FY2019, driven by unrealized gains on investment properties[123]. Strategic Initiatives - The Group plans to continue seeking investment properties with good yields to expand its property portfolio, aiming for superior long-term shareholder value[22]. - The Group plans to continue expanding its presence in Singapore through the acquisition of new properties or food centres[90]. - The Group aims to enhance the dining experience by renovating existing food centres[91]. - The Group is investing in technology, including developing an information management system and point-of-sale system to improve operational efficiency[92]. - The Group's development initiatives include increasing market share in the food and beverage industry in Singapore and expanding to other regions[90]. - The Group's strategic planning includes reviewing business strategies in response to the dynamic nature of the COVID-19 situation[83]. Operational Changes - The implementation of cashless payment systems across all food establishments has improved the efficiency of cash collection and management processes[20]. - The Group's food establishments are currently limited to takeaway and delivery services only, with no dine-in options allowed due to government restrictions[25]. - The Group has reinforced staff training on cleanliness and hygiene to ensure food quality and has implemented necessary health and safety precautions for staff, customers, and suppliers[27]. - The Group's operational strategies are designed to adapt to market trends and consumer preferences in the food and beverage sector[41]. Community Engagement - The Group donated approximately S$174,000 to The Community Chest of Hong Kong and contributed S$287,000 to recognized charities in Singapore in FY2019[30]. - The company is actively involved in civic organizations, reflecting its commitment to community engagement and corporate social responsibility[50]. Management and Governance - The Group's overall strategy planning, management, and operations are primarily overseen by Mr. Chu, who has over 17 years of experience in the food and beverage industry[38]. - Ms. Leow, with over 17 years of experience in the food and beverage sector, is responsible for the day-to-day operations and strategic planning of the Group[41]. - The management team is committed to providing independent judgment on policy and accountability, ensuring robust governance practices[50]. - The Group's leadership structure includes a mix of executive and non-executive directors, enhancing decision-making and strategic oversight[50]. - The management team includes professionals with diverse backgrounds, contributing to a well-rounded governance structure[67]. Market Conditions - The Singapore economy contracted by 2.2% year-on-year in Q1 2020, reversing the 1% growth in the previous quarter, with a quarter-on-quarter annualized shrinkage of 10.6%[23]. - The outlook for 2020 is uncertain due to COVID-19, with various precautionary measures implemented across Singapore[83]. - The Group is closely monitoring the impact of COVID-19 on its operations, including food establishments, inventories, and supply chains[83]. Property Acquisitions - The Group utilized approximately S$7.2 million of the listing proceeds to acquire two properties in Singapore's Chinatown and northern regions[14]. - On February 14, 2020, the Group acquired nine shop units in a mixed-use development for S$22.2 million, intending to open an air-conditioned food outlet upon expiration of existing tenancy agreements[15]. - On 24 March 2020, the Group's subsidiary completed the acquisition of properties at 101 Upper Cross Street for a total consideration of S$22.2 million, partially financed by net proceeds from the Share Offer[139]. - The acquisition is expected to lead to an increase in revenue, profit, and market share, as well as improve the Group's ability to withstand rising rental costs[139].

K2 F&B Holdings Limited 於開曼群島註冊成立的有限公司 K2 F&B Holdings Limited K2 F&B Holdings Limited Incorporated in the Cayman Islands with limited liability Stock Code: 2108 Interim Report 2019 Interim Report 2019 中期報告 股份代號 : 2108 中期報告 2019 公司資料 Singapore 468164 註冊辦事處 Cricket Square Hutchins Drive P.Q. Box 2681 Grand Cayman KY1-1111 Cayman Islands 總部及新加坡主要營業地點 83 Genting Lane #08-00 1 | --- | --- | |------------------------|---------------------------| | | | | Genting Building | 合規顧問 | | Singapore 349568 | 香江資本有限公司 香港九 ...

K2 F&B Holdings Limited ANNUAL REPORT 2018 年報 K2 F&B Holdings Limited K2 F&B Holdings Limited Incorporated in the Cayman Islands with limited liability 於開曼群島註冊成立的有限公司 Stock Code 股份代號 : 2108 2018 ANNUAL REPORT 年報 Contents 目錄 2 Company Information 公司資料 5 Chairman's Statement 主席報告書 | --- | --- | |------------------------------------------------------------------------------|--------------------------| | | | | | | | 7 Directors and Senior Management | 董事及高級管理層 | | 15 Corporate Governance Report | 企業管治報告 | | 29 ...