Furniture retailer Commune parent Koda Ltd has boosted its annual profit by 155.6 per cent in the last year, largely due to expansion of its store network.
In the year to June 30, the company achieved sales of US$4.1 million, up from $1.6 million last year. Revenue rose by a more modest 33.4 per cent to $49.5 million, up from $37.1 million the previous year as strong export orders were received from key markets.
Streamlined manufacturing operations in Malaysia and Vietnam helped gross profit margin rise from 27.7 per cent to 32.2 per cent.
Koda’s MD James Koh said even better figures are to come, after the strategic review announced in July in which Koda will continue to improve manufacturing efficiencies, strengthen its supply chain and refine and expand its Commune retail store network, especially in China.
Joshua Koh, Commune’s CEO, added: “Commune is gaining strong traction in China, especially among younger home-owners. We continue to build the brand and differentiate ourselves as we remain on schedule to open up to 100 stores in China by 2020.”