4th Sep 2023 14:07
(Alliance News) - daVictus PLC shares nose-dived on Monday, despite the business reporting unchanged revenue and only a slight decline in profit in the first half of 2023.
The stock was down 25% at 1.50 pence in London that afternoon. Over the last 12 months, it has plunged 99%.
The Subang Jaya, Malaysia-based investor, which is focused on Asia's food and beverage sector, said its pretax profit for the first half of 2023 decreased 0.6% to GBP63,598 from GBP64,005 the prior year.
Basic and diluted earnings per share increased to 0.48 pence from 0.41p, while revenue for the period was unchanged at GBP150,000. Operating expenses increased 0.5% to GBP86,402 from GBP85,995.
Cash and equivalents meanwhile decreased 30% to GBP171,204 at June 30 from GBP242,849 at the same time last year.
Of its two franchisees in Kuala Lumpar and Bangkok, daVictus said results have been "moderate" and is therefore "cautiously considering" potential expansions in both markets.
"We might entertain inquiries from Singapore, Indonesia, the Philippines, and Vietnam in the coming years, although our approach to expansion remains measured," added Chair Abd Hadi Bin Abd Majid.
daVictus also continues to explore opportunities to extend its restaurant management services outside its flagship franchise, Havana Dining, and hopes that said exploration will lead to new revenue streams.
Looking forward, Majid said: "We maintain a cautiously optimistic view of the company's future, underpinned by our dedication to operational excellence and industry best practices. This approach positions us for growth and sustained profitability."
By Emma Curzon, Alliance News reporter
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