KUALA LUMPUR: Integrated jewellery manufacturer and retailer Tomei Consolidated Bhd is still cautious in setting a target for the 2022 financial year on concerns over market sentiment due to the ongoing uncertainties.
However, managing director Datuk Ng Yih Pyng said the group hopes to improve its performance to lift the company's profitability.
"Although the group was not directly impacted by foreign labour cost, we believe it would affect our sales and overall performance (indirectly).
"We are still cautious (in setting a target) because of the (higher) staff cost, foreign labour cost and external factors like the war in Ukraine and the US dollar performance," he said after the group's annual general meeting today.
As such, Ng said the group needs to provide better in-store and after-sales services, as well as embark on creative marketing to attract customers to ensure that Tomei continues to be their choices.
As all jewellers are selling similar products, he said Tomei has to come out with more fashionable and unique jewellary designs while improving their quality for customer satisfaction.
On the company's expansion plan, he said Tomei plans to open at least three new stores in the country by end-2022, after opening two new stores, one each in Langkawi, Kedah and Tunjung, Kelantan early this year.
"We plan to open two or three more stores in Malaysia by year-end. However, we have not decided on the locations yet," he said, adding that the company is considering the East Coast where it has yet to have any outlets.
"We might also relocate a few stores based on their performance for future growth. Actually, we don't set a target on store expansion but if there is an opportunity, we will open (new ones)," he said.
On falling ringgit, Ng said Tomei does not made any predictions on gold price.
"Generally, the weakening of the ringgit will cause gold price in ringit to be higher. But, when the US Federal Reserve increased the interest rate, gold price in dollar has weakened slightly but it is compensated by the depreciation of the ringgit," he said.