PETALING JAYA: Property developer Paramount Corporation Bhd
expects the property market to remain soft in the second half (2H) of 2025 without any catalyst to boost it amid concerns over US tariffs as well as rising costs due to the fuel subsidy rationalisation and Sales and Service Tax (SST) expansion.
Group chief executive officer and director Jeffrey Chew Sun Teong said that to date, the company has managed to achieved RM600 million sales out of the targeted RM1.6 billion sales for this year as buyers are holding back due to the rising cost of living.
"Everybody is concerned over the US tariffs. Then, with the impending cost escalation because of the fuel subsidy rationalisation and SST (expansion), people are holding back a bit. So sales are a little softer.
"There is a possibility that we may have to revise our sales target (for this year),” he told a press conference after the company’s investor relation and media presentation here today.
Chew said the food and beverage (F&B) segment is expected to be the second largest contributor to the Paramount group’s earnings after the property segment.
Paramount Corporation yesterday announced its unit Venice Concepts Sdn Bhd’s proposed acquisition of a 28 per cent stake in Envictus International Holdings Ltd from JAG Capital Holdings Sdn Bhd for S$38.33 million (RM126.32 million).
Singapore-based Envictus is the franchise holder of Texas Chicken and San Francisco Coffee in Malaysia as well as a wholesaler of foodstuff and frozen food. It is also involved in the dairies segment through the manufacturing and distribution of sweetened and evaporated creamer.
According to Paramount Corporation’s filing with Bursa Malaysia, Envictus recorded an unaudited net profit of RM16.11 million on revenue of RM369.78 million for the six-month period ended March 31, 2025.
Paramount owns two restaurants in Kuala Lumpur, namely Dewakan -- Malaysia’s only 2-Michelin Star restaurant for two consecutive years since 2024 and a Michelin Green Star recipient in 2025 -- and Bidou, a newly established restaurant offering classical French cuisines.
Commenting on the San Francisco Coffee business, Chew said the company sees an opportunity to turn the coffee outlets into fast food and quick snack cafes as the coffee market is becoming oversaturated with more newcomers coming in.
"The food (at San Francisco Coffee) is quite good. There are a lot of variety of wraps and some pastries, but a lot of people are not aware of it.
"So we think that they have to work on some plans to actually improve themselves and reposition. Hopefully, it can be a bit more profitable in the future,” he said. - Bernama
