SINGAPORE/MYANMAR. Singapore Myanmar Investco Limited has posted a +20.9% year-on-year revenue increase to US$11.6 million for the six months to 30 September .

The company’s duty free and fashion retail segment was a major contributor, with strong growth in sales per passenger at Yangon International Airport.

Subsidiary SMI Retail only began duty free operations at Yangon International in September 2016. As a result there is little meaningful basis for year-on-year revenue comparison. The company was awarded contracts for duty free, other retail and food & beverage outlets in 6,700sq m of space at the airport’s International Terminal in December 2015.

The 6,700sq m of retail space at Yangon International includes a multibrand and multicategory duty free area of almost 2,000sq m on three levels

“A robust operational framework has been put in place to manage stock levels, which has limited the sell-in, from the beginning of the financial year,” the company stated. “This will ensure that sell-in and sell-out are balanced going forward.”

Statement of comprehensive income. Click on image to enlarge

Singapore Myanmar Investco Limited reported gross profit of US$3.1 million, an increase of +52.5%. Gross profit margin improved from 21.1% in HY2017 to 26.6% in HY2018.

The company maintained a positive outlook despite noting some political and economic headwinds. “Revenue growth in the second half is expected to exceed that of the same period last year, with reduced operational costs also improving financial performance,” it said.

Breakdown of revenue and profit before tax by segment. Click on image to enlarge

Click on image to enlarge