Home Capital Results

Neo Group’s 3Q earnings fall on absence of one-time gain

PC Lee
PC Lee2/9/2017 08:16 AM GMT+08  • 2 min read
Neo Group’s 3Q earnings fall on absence of one-time gain
SINGAPORE (Feb 9): Neo Group, the food caterer, saw 3Q17 earnings fall to $0.1 million from $4.8 million in the absence of a $4.3 million one-time gain recognised in 3Q16 from bargain purchase on acquisition of subsidiaries.
Font Resizer
Share to WhatsappShare to FacebookShare to LinkedInMore Share
Scroll to top
Follow us on Facebook and join our Telegram channel for the latest updates.

SINGAPORE (Feb 9): Neo Group, the food caterer, saw 3Q17 earnings fall to $0.1 million from $4.8 million in the absence of a $4.3 million one-time gain recognised in 3Q16 from bargain purchase on acquisition of subsidiaries.

Revenue for the three-month period ended Dec, however, grew 23.4% to $46.7 million from $37.8 million a year ago. This was mostly lifted by a $7.6 million rise in revenue from the Food and Catering Supplies business, which started supplying and trading frozen meat to a local third-party customer that contributed to the $7.7 million segment revenue reported this quarter compared to $0.1 million in 3Q16.

While the Food Catering business reported 6.5% lower revenue to $16.8 million in the absence of the SG50 boost last year, the Food Retail business’ topline rose 5.5% to $4.6 million due to new outlets as well as promotions launched during the quarter.

As a result of new products that were successfully launched during the quarter, the Food Manufacturing business reported a 2.9% growth in revenue to $12.6 million in 3Q17 from $12.2 million a year ago.

The Food Trading business, which contributed three months of revenue this quarter compared to two months in 3Q16, reported revenue of $4.7 million in 3Q17, 59.6% higher than the $2.9 million in 3Q16.

The group expects to remain profitable for FY17 ending March.

Shares of Neo Group closed flat at 57.5 cents.

×
Loading next article...
The Edge Singapore
Download The Edge Singapore App
Google playApple store play
Keep updated
Follow our social media
Subscribe to The Edge Singapore
Get credible investing ideas from our in-depth stock analysis, interviews with key executives, corporate movements coverage and their impact on the market.
© 2022 The Edge Publishing Pte Ltd. All rights reserved.