KUALA LUMPUR: Tomei Consolidated Bhd, an integrated manufacturer and retailer of gold and jewellery products, is confident in sustaining earnings this year despite the current soft retail environment.
Group managing director Datuk Ng Yih Pyng said for the first quarter (Q1) 2018, the Group has registered a RM149.95 million revenue and targets to achieve higher revenue in the second half of this year.
“The Group also recorded a profit before tax of RM2.5 million in the same quarter,” he told reporters after Tomei’s annual general meeting here today.
Also present at the press conference was Tomei executive chairman Tan Sri Ng Teck Fong.
Ng said the company faced a challenging financial year in 2017 due to softening consumer sentiment against the weakening retail market.
“However, Tomei has managed to record a healthy sales growth and improved on its profitability.
“The Group has embarked on a rationalisation plan and strategy to enhance its retail outlets and embark on business opportunities for new outlets.
“In addition, we have also introduced many new products and working on maintaining cost and maximising return of our outlets to ensure sustainability of our profitability,” he said.
For the financial year ended December 31, 2017, Tomei reported a profit before tax of RM21.3 million, which grew almost threefold as compared to the RM8.05 million recorded in the previous year, while revenue grew 31 per cent to RM617.02 million.
Commenting on the abolition of the Goods and Services Tax (GST), Yih Pyng said the company is in a "wait and see" approach to the government's new mechanism.
"However, basically, if no tax is charged, it will help increase sales and give positive impact to consumers," he said.