Kingsmen Creatives Profit Fell for 1Q2016

On 12th May 2016, Kingsmen Creatives announced its financial results for 1Q2016. Total revenue for 1Q2016 is S$61.4 million. This is a 18.4% increase as compared to the revenue of S$51.9 million in the previous corresponding financial period ended 31 March 2015 (“1Q 2015”).

Revenue

Revenue for Kingsmen Creatives comes from four main business divisions.

Exhibitions and Museums

The exhibitions and museum division contributed a total revenue of S$28.4 million. This is an increase of 8.8% as compared to S$26.1 million in 1Q2015. The key contributors includes major events and projects such as Art Stage Singapore 2016, Singapore Airshow 2016, Asia Pacific Maritime 2016, Kidzania Singapore, Horse Culture Museum and thematic projects in the region.

Retail and Corporate Interiors

The retail and corporate interiors division are the top contributor to Kingsmen Creatives revenue. The division contributed a total revenue of S$29.1 million. This is an increase of 35.3% as compared to the revenue of S$21.5 million in 1Q2015. Clients for this division includes Tiffany & Co., Christian Dior, Uniqlo, H&M, DFS Venture, LS Travel Retail and Shilla Travel Retail.

Research and Design

The research and design division contributed a total revenue of S$2.6 million. This is a 17.4% decrease as compared to the revenue of S$3.1 in 1Q2015. Clients for this division includes Burberry, Procter & Gamble Co., Kate Spade and Michael Kors, and thematic projects in the region

Alternative Marketing

The alternative marketing division contributed a total revenue of S$1.4 million. This is a 16.4% increase as compared to the revenue of S$1.2 million in 1Q2015. Clients for this division includes Health Promotion Board, DFASS Group, Jurong Health, OCBC and StarHub.

Gross Profit

Although revenue increases, gross profit for 1Q2016 decreased 5.8%  to S$13.4 million compared to S$14.2 million for 1Q 2015. Gross profit margin was lower at 21.8% in 1Q 2016 compared to 27.4% in 1Q 2015 mainly due to lower selling prices registered in the Retail & Corporate Interiors division.