Sakae Sushi owner flags full-year loss on $3.2m impairment charge

Sakae Holdings last closed at 8.5 cents on Wednesday, down 0.5 cent or 5.56 per cent.
Sakae Holdings last closed at 8.5 cents on Wednesday, down 0.5 cent or 5.56 per cent.PHOTO: ST FILE

SINGAPORE - Sakae Holdings, best known for its Sakae Sushi restaurant chain, said on Thursday night (Aug 22) that it expects to record a loss for the financial year ended June 30.

This is largely from a goodwill impairment of $3.2 million in connection with its purchase of a 51 per cent equity interest in Cocosa Export, said the company in an exchange filing.

It also saw an impairment loss of around $2.8 million under other receivables associated with the group's investment in Cocosa Export and related entities, the operator of conveyor belt sushi restaurants said in a profit guidance issued on Thursday just before midnight.

Cocosa Export is a Chilean frozen seafood production and trading company in which the group acquired a stake in March 2016.

Sakae Holdings last closed at 8.5 cents on Wednesday, down 0.5 cent or 5.56 per cent. The group disclosed on June 5 that it had been placed on the Singapore Exchange watch list.