SHAH ALAM - The operator of Starbucks Malaysia, Berjaya Food Bhd (BFood) recorded a net loss of RM29.76 million in the third quarter (Q3) ending on March 31, 2024, compared to a net profit of RM15.94 million for the same period last year.
In a statement, BFood said that Starbucks' revenue fell by nearly half to RM138.65 million following an ongoing boycott campaign due to the conflict in the Middle East.
It stated that for the nine-month period ending March 31, 2024, they continued to post a net profit of RM53.31 million, down from a net profit of RM86.13 million last year.
The revenue for the quarter was RM599.74 million, with a pre-tax loss of RM44.65 million, compared to a revenue of RM844.22 million.
"The pre-tax loss for the current quarter was due to sentiments surrounding the conflict in the Middle East.
"The decline in revenue and pre-tax loss was also due to the disposal of the group's equity interest in Jollibean Foods Sdn Bhd.
"Excluding investment-related expenses, the pre-tax loss was RM34.15 million for the current period," the statement said on Thursday.
Commenting further, BFood stated that the board of directors did not recommend any dividends for the current quarter this year.
It noted that business performance was expected to improve towards the remaining quarters ending June 30, 2024.
"The board of directors believes that the company's business operating performance will gradually improve over the remaining financial quarters ending June 30, 2024," it said.