SINGAPORE (Nov 8): Best World International saw its earnings jump 145.3% to $29.9 million for the 3Q18 ended September, from $12.2 million a year ago.
3Q18 revenue nearly doubled to $92.1 million, from $46.8 million a year ago.
The increase is mainly attributable to its new Franchise segment, which was introduced in 2Q18. This refers to revenue generated from sales to Best World’s franchisees in China.
Sales under the Franchise segment contributed $60.5 million to revenue in 3Q18, or 65.7% of the group’s total revenue during the quarter.
Revenue from its Direct Selling segment grew 48.8% to $30.4 million in 3Q18, on the back of growth in group’s key markets of Taiwan, Indonesia and Hong Kong.
As at end September, cash and cash equivalents stood at $125.1 million.
Earnings per share for 3Q18 was 5.44 cents while net asset value per share was 27.94 cents.
“3Q18 heralds a new milestone for the group’s China operations as we register the first full quarter of revenue contribution from our Franchise segment,” says Huang Ban Chin, Best World’s executive director and group chief operating officer.
In view of this milestone achieved, the board has proposed a special dividend of 1.2 cents per share for the period.
“Moving forward, we expect the China market to be the group’s key engine for growth,” Huang adds. “We intend to capitalise on our momentum and we will work hard to further improve market awareness of our brand offerings and stimulate more demand for our products.”
Shares in Best World closed 3 cents higher, or up 1.6%, at $1.87 on Thursday.