Strong comeback for Mr DIY in Q2

Malaysia's top home improvement retail chain came back strong in the second quarter after flagging in the first as a network of 993 stores, along with the lifting of Covid-19 restrictions, provided impetus for a leap in revenues. Mr. DIY Group (M) Bhd, which operates eponymous stores in Malaysia and Brunei, disclosed a 38.02-per cent hike in sales for April to June 2022, to 1.048 bn Malaysian ringgit (MYR, approx. EUR 230.4 mio) – the first time it breached the MYR 1 bn barrier – to set a fresh company record for quarterly earnings.

This was chalked up to busier tills, with the number of transactions going up 35 per cent to 36.1 mio; more stores, with 166 added between July 2021 and June 2022; and outlets being shut down temporarily during the comparative period owing to health protocols.

“The higher revenue is also consistent with the nation entering into the endemic phase from 1 April 2022, which led to the opening of more economic sectors, the gradual normalisation of consumer spending and the higher spending levels due to the festive season,” Mr. DIY reported.

The minimum wage policy which took effect last May also boosted disposable income in the country, it added.

The second quarter's stellar performance offset the company's modest showing in the first quarter when it posted a four per cent rise in sales, weighed down by a surge of coronavirus cases stemming from the outbreak of the Omicron variant in February.

For the first half, Mr. DIY enjoyed a 19.87-per cent jump in sales to MYR 1.953 bn, with Malaysia making up MYR 1.945 bn and Brunei contributing MYR 13.316 mio.

The company plans to open 87 more branches in the second half in line with plans to launch 180 new outlets this year. By the end of 2022, the company hopes to have 1,080 branches from 900 in end-2021.

- By Jennee Grace U Rubrico