Prior to his retirement, Chan Kit Whye worked more than 30 years as Regional Finance Director, Financial Controller and Manager in a multinational specialty chemical business. He has played an active role in CPA (Australia) Singapore Branch, taking up positions in its Continuing Professional Development and Social Committees. Kit Whye is a Fellow of CPA Australia, CA of Institute of Singapore Chartered Accountants and CA of the Malaysian Institute of Accountants. He holds a BBus(Transport) Degree from RMIT, MAcc Degree from Charles Sturt University and MBA from Durham Business School.
NEO GROUP: Delivered its full year profits ended 31 January 2014 of $6.4 million, more than double its previous year's profit of $3.4 million.
While revenue for the year grew 26% y-on-y to a record $52.4 million, gross margin improved by 31%, resulting in a gross profit of $36.4 million.
Gross margin as a percentage of sales was up 3.8 points to 70.3%, which signals strong control by its management over raw material purchases and costs.
Total expenses were up by 19%, or $4.9 million, to $30.3 million, of which $3.5 million increase came from employee costs and benefits.
Total debt has increased substantially from $3 million in prior year to $16.2 million, largely due to borrowings to acquire 5 units of leasehold properties at Enterprise Road.
This bring its debt to equity very much higher to 78.8% versus 57.2% previously.
Free cash flow has turned negative to $7.2 million versus prior year's positive cash flow of $3.1 million.
This is due to $15 million capex incurred for the year, of which $12 million was for acquisition of properties and $900,00 for investment in Singapore Kitchen Equipment shares. 
Founder, Chairman and CEO Neo Kah Kiat with his chefs. Photo: Company
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