PETALING JAYA: Focus Point Holdings Bhd
is well-positioned to capture rising consumer spending through its strong brand equity and expanding footprint of its optical retail business and growing business-to-business (B2B) scale in its food and beverage (F&B) segment.
Hong Leong Investment Bank (HLIB) Research expects Focus Point’s optical business to benefit from store expansion into underserved Sabah and Sarawak and from incremental demand redirected from the ban on online sales of optical devices and contact lenses.
Contact lenses currently account for around 18% of Focus Point’s optical segment revenue.
For financial year 2025 (FY25), Focus Point’s management is guiding for 10 new stores in places like Karamunsing, Bintulu and Miri, with potential upside to exceed this target.
Two new outlets were added in the second quarter, bringing the total store count to 203.
The research house said the company’s marketing efforts, including the 360° Apec campaign and ongoing store refurbishments, continue to reinforce customer trust and conversion.
It added Focus Point had begun to scale its F&B’s B2B business and has recently secured contracts to supply to a grocery retail chain with 30 outlets and a major convenience store chain, with deliveries commencing in September.
“Negotiations are underway with several large potential clients, including national coffee chains. Should they materialise, we expect meaningful improvement in CK2 facility utilisation and margin uplift for the segment.
“Management sees B2B as the next growth pillar, while retail sales are expected to remain resilient,” HLIB Research stated in a new report on the company.
It added that Focus Point’s management also remained focused on improving cost efficiencies and driving scalability via B2B expansion.
