July 28, 2021
Everything Fresh Limited (EFRESH) Chairman, Gregory Pullen, highlighted the financial performance for FY2020. Revenue contracted by 52% for the period amounting to $1.05 billion, down from $2.20 billion reported in 2019. The Hotel & Restaurant accounted for 90% of the company’s total revenue in 2019, however, this dropped to 64% in 2020. The company made a strategic decision to ramp up sales in the Retail & Wholesale revenue category. Sales from this category grew from $221.57 million in 2019 to $377.75 million in 2020. Cost of sales closed the period at $905.94 million relative to the $1.90 billion in 2019, as such gross profit ended at $142.82 million relative to $299.49 million in 2019.
“The net loss analysis revealed that the distribution division recorded a small profit in the previous year whereas the Meat Plant division resulted for most of the loss. However, as a result of the pandemic, in 2020 the 70% of the loss came from the distribution division while 30% came from the meat Plant division. The company’s Total Assets fell by 23% mainly attributable to Trade Receivables contracting. While Total Liabilities fell by 9% as a result of a reduction in trade and other payables.”
Outlook:
Looking forward, the company plans to continue the growth of the retail & wholesale sale category to strengthen diversity. “EFRESH began introducing new products in the last quarter of 2020. The company will continue to place emphasis on traditional import and distribution, as such the meat plants have been downsized.” According to management, “tourism is rebounding, and this will benefit the company, EFRESH will continue to focus on new marketing efforts, further diversifying revenue and managing working capital better by keeping lower inventory and receivables.”
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