What: FJ Benjamin reports their annual earnings for the year ended June 30th.

Why it is important: FJ Benjamin shared their profit growth as well as cautiousness regarding future revenues due to weakening economies. It shows that fashion brands have alternative avenues for growth than the department store format in the world, including in department-store format-friendly market such as Southeast Asia.

The company reported a net profit of SGD 3.5 million (19% increase), with revenues increasing 7% year on year to SGD 86.5 million. With the lifting of Covid-19 restrictions, FJ Benjamin saw a recovery in sales in all three countries that it operates its 148 stores in (Singapore, Malaysia, and Indonesia), but is still cautious due to inflation. An exchange rate loss of SGD 3 million was noted due to the weakening Malaysian ringgit. There was a 9% decrease in sales in the second half of the fiscal year compared to the first due to weaker consumer sentiments; operating expenses rose 10% because of higher rents and staff costs.

The company also launched a multi-brand luxury retail format, Avenue On 3, in Singapore’s Paragon Shopping Centre, combining a footwear retail space, cafe, beauty treatment suits, a champagne bar, and a chocolatier. The opening of this was well received.

Business of Fashion 

Inside Retail