United States

Analyst Research Report Snapshot


Results Note – Bonia (ADD, maintain) - A healthy start




Affin Hwang Investment Bank Bhd


24 Nov 2013





Companies referenced:


Available for Immediate Download

1QFY06/14 core earnings grew +2.5% yoy to RM16m Bonia’s 1QFY06/14 topline revenue grew by +7.5% yoy to RM168.4m, driven by improved perfomance across its brand. We gathered that Sembonia had registered a strong +32% growth in revenue, while revenue from Jeco group - Braun Buffel, had grown by +16.7% yoy. Besides, Bonia's overseas sales revenue had also improved, notably Indonesia (+16% yoy) and Vietnam (+12% yoy). By segment, sales from its retailing and investment divisions surged +7.5% and +31% yoy, respectively. Notwithstanding the healthy revenue growth, Bonia’s 1QFY06/14 EBIT margin had declined by -1.9%-points to 14.6%. This is due to the sharper rise in operating expenses (+9.9% yoy) as the group had expanded its boutiques stores in Malaysia from 90 as of end-2012, to 101. The higher costs were related to additional rental costs of RM1.4m and advertising cost of RM1.9m. Taken together with a higher interest cost (+17.6% yoy), PBT were down by -13.4% yoy. Core earnings was however firmer by +2.5% yoy of RM16m, brought by the lower effective tax rate of 29.9% in 1Q14 vs 32% in 1Q13. Alhough results account for 29% and 30% of our and consensus full year forecasts, we deem the results as within expectation as 1Q is typically the strongest quarter (1Q13 accounted for 30% of FY13 profit).

Why buy analyst research?

  • Institutional quality research
  • Available for Immediate Download
  • Detailed company or industry insight
  • Print or save
  • 24 hour customer support
Return to previous page without adding this item to your cart.
Email Customer Support.

About Analyst Research

Analyst research reports are available for immediate download after purchase. You will have unlimited access to the report for 24 hours after purchase, to download, print or save it as many times as you wish. Analyst Research provided by Reuters does not constitute investment advice, and is not endorsed by Reuters Research. This information is protected by copyright and intellectual property laws. More information on Analyst Research.