Courts Asia slated to launch 2 stores in West Singapore

One is in JV with CapitaLand.

According to a release, Courts Asia's net profit rose 21.6% to S$6.2 million for the three months ended December 31, 2012, compared to S$5.1 million in the last corresponding period (“3Q2012”).

This was achieved on the back of year-on-year sales growth of 9.4%, which increased to S$195.5 million in 3Q 2013 from S$178.7 million in 3Q 2012. In tandem with higher Group revenue, gross profit in 3Q 2013 increased by 6.0% to S$57.8 million.

Gross profit margin remained at a healthy level of 29.6%, despite a marginal dip against the last quarter.

Courts Asia’s Executive Director and Chief Executive Officer, Mr Terence Donald O’Connor, said: “We are pleased to have seen another quarter of good financial performance. In Singapore, the new Bukit Timah, Clementi and Star Vista outlets boosted our topline. Whilst sales dampened in our flagship Megastore during the renovation between October to November, we saw a positive momentum after the December re-launch. In Malaysia, sales was driven by tablets and smartphones, notably Samsung and Apple brands.

“At the same time, we re-launched eCourts in October last year, providing the multi-channel shopping experience that complements new features at our revamped Singapore megastore. Though currently a small part of our business, our online platform has seen a triple digit surge in revenue, reflective of the changing consumer trend. To capitalise on this growth, we’ve recently extended this online store concept to Malaysia.

“Going forward, we will now establish a strong presence in the western region of Singapore. We have just signed the letter of offer with CapitaLand for a store in Westgate mall, which will open at the end of this year. Along with the already announced store slated to open in JEM, a new shopping mall which will be operational by May 29, 2013, we will bring our presence in the West to three stores.

“In Malaysia, we successfully launched the Jerteh, Terengganu store in January, bringing our store network to 59. Before the end of March, we will add one more store in Sg Petani, Kedah, with further store openings in Teluk Intan, Perak and Pontian, Johor in the first quarter of our financial year starting April 2013. We will continue to leverage our unique business model to stay ahead of the competition as we expand our physical footprint and online share.”

For the nine months ended December 31, 2012, (“9M 2013”), sales increased 11.9%, to S$605.3 million from S$541.1 million in the past corresponding period (“9M 2012”).

Gross profit increased 11.2% to S$189.6 million, with margin holding steady at a healthy level of about 31.3%. Net profit rose from S$23.8 million in 9M 2012 to S$28.8 million in 9M 2013, representing a 21.1% increase.