Parkson Retail Asia FY2025 profit drops 13% to S$20.9m on softer sales; no dividend as cash conserved amid net current liabilities
Summary:
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Group revenue fell 3.0% to S$208.3 million in FY2025, with total merchandise sales down 1.9% as direct sales declined 5.9% and concessionaire sales slipped 1.0%, while rental income dropped 28.8% on lower lease receivables.
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Profit before tax fell 19.4% to S$28.6 million and net profit attributable to shareholders declined 13.5% to S$20.9 million, as other income normalised after last year’s impairment reversals and other expenses rose on right‑of‑use asset impairments.
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Operating cash flow remained strong at S$72.2 million (FY2024: S$76.4m), but a S$27.0 million dividend and creditor repayments drove a S$9.7 million reduction in cash and cash equivalents to S$109.8 million and left the Group in a net current liabilities position of S$4.3 million.
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Net assets fell to S$33.5 million (NAV S$0.050 per share) as accumulated losses widened to S$41.7 million after the FY2025 dividend, though the Group still holds S$120.1 million in cash and short‑term deposits and S$111.7 million of right‑of‑use assets.
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No dividend was declared for FY2025 as the Board prioritises conserving cash for working capital and future expansion, with management flagging continued pressure from trade tensions, inflation and shifting consumer behaviour but ongoing plans to expand its 39‑store network.