Synergy House eyes global furniture e-commerce growth

KUALA LUMPUR: Synergy House Bhd is cautiously optimistic on the potential of the global furniture e-commerce market and believes that with its strategies, the group will be able to capitalise on such potential and increase its market share.

“The group also views that the current strategies undertaken currently will be positively supporting the growth and expansion of its business-to-consumer (B2C) segment in the long term,” Synergy House said.

“While the present global economic outlook remains challenging, the group expects this to have lesser impact on the group’s business as its home furniture products are in the affordable price range.

“Besides that, the group is well positioned in the B2C sales segment having established its presence in the third party e-commerce platforms in the US, United Kingdom and Canada,” it added.

In the third quarter ended Sept 30 (3Q), Synergy House posted a net profit of RM8.06mil, or earnings per share of 1.61 sen on revenue of RM69.2mil.

There are no comparative figures for the preceding quarter available as this is the third interim financial report for the 3Q announced in compliance with the listing requirements.

For the 9-month period to Sept 30, it reported a total revenue of RM179.4mil and net profit of RM16.9mil, surpassing the net profit of RM16.6mil recorded in the previous 12-month financial year ended Dec 31, 2022.

Executive director Tan Eu Tah said the current quarter’s results was a clear indicator of the effectiveness of its strategies, particularly in the B2C segment.

“Notably, our geographical diversification of our B2C segment to UK started to provide positive outcome with an impressive quarter-on-quarter growth of approximately 95%, with revenue reaching RM2.1mil in the third quarter of FY2023, reinforcing our position as a key player in this significant market.

“Our focused approach in expanding our online presence and enhancing customer engagement has paid off, leading to remarkable growth in both our B2B and B2C segments. We are thrilled with the progress and are committed to continuing our journey towards becoming a dominant force in the global furniture e-commerce market,” he said in a statement.