Sakae books $1.2m net loss in Q2
Due to lacklustre market sentiment and fierce competition.
Sakae Holdings (Sakae) is sinks deeper into the red in 2Q16, as the company booked a net operating loss of $1.2m versus its net operating after of $600,000 in 2Q15.
According to the company's financial report, this is due to weaker market sentiments and fierce competition within the food and beverage sector in Singapore weighing down revenue for the quarter.
On top of this, weaker MYR caused the contribution of sales from the Malaysian market to be lower. The company's China market remained the only bright side, as market expansion marginally lifted the company's revenue for the quarter.
Overall, revenue tumbled 12.7% YoY to $21.3m in Q2. Operating income narrowed by 17.9% to $900,000 on back of lower government grants.
Sakae's administrative expenses fell 6% YoY to $9.8m, while operating costs slipped 3.5% YoY to $6.1m. This was offset, though, by a 38.6% YoY surge in finance costs to $200,000.
