The headwinds buffeting mall operators across the world continued to take their toll on Parkson Retail Asia in the third quarter, although the department store operator did record better numbers.
Its net loss of $7.8 million was 14 per cent better than the $9.1 million of red ink it racked up a year earlier.
This translated to a loss per share of 1.16 cents compared with a loss of 1.35 cents last year. Net asset value per share was 10 cents, down from 13 cents as of June 30.
Revenue for the three months to March 31 rose 5.9 per cent to $104.5 million, though expenses also ticked up 3.7 per cent to $113.6 million. This increase was mainly due to changes in merchandise inventories and consumables, as well as higher staff costs and annual salary adjustments.
Parkson had net current liabilities of $80.3 million as of March 31 due to its investments in new stores and new ventures. Its operations in Malaysia were the most profitable segment, with same store sales growth of 4.5 per cent recorded for the quarter amid stronger Chinese New Year festive sales.
While Parkson added three new stores to its network for the nine months to March 31, it has also taken steps to shut six underperforming stores. Its performance in the final quarter, especially for the Malaysian and Indonesian operations, is expected to benefit from the Hari Raya and Lebaran festive shopping next month, Parkson Retail Asia said.
AT A GLANCE
REVENUE: $104.5 million (+5.9%)
NET LOSS: $7.8 million (comparison not meaningful)
Nonetheless, "in view of the headwinds encountered in each operating country, the group is expected to end 2018 with reduced losses as compared with 2017".
Parkson Retail Asia shares closed down 0.3 cent, or 5.6 per cent, at 5.1 cents.