Cai fan, or mixed economy rice, is a staple dish many Singaporeans enjoy. This popular meal, typically found in coffee shops, hawker centres and food courts, offers a variety of dishes served with rice. Cai fan stalls are a reliable and quick meal option, especially in Singapore’s heartlands.
Kimly Mixed Rice, a cai fan chain with 60 stalls across the island, is operated by Kimly 1D0 Group, a household name and one of the country’s largest traditional coffee shop operators. The Kimly team presents 40 to 45 dishes daily at their outlets, offering home-cooked local favourites from as low as $2.70.
Despite its strong local presence, Kimly is facing challenges expanding beyond Singapore. To address this, the group is exploring opportunities in the halal market, which is seeing rising demand. Kimly plans to expand its Tenderfresh and Makcik Tuckshop restaurant brands to cater to a broader customer base.
Kimly opened its fifth Tenderbest Makcik Tuckshop at Punggol Park in February. The new outlet marks a “milestone for us as it is our largest restaurant, boasting a spacious outdoor refreshment area of over 218 sq m and an internal dining space exceeding 205 sq m. We have observed a consistent increase in demand for halal-certified food, with these products gaining significant traction. Given the promising outlook of the industry, we will continue with our efforts to further our expansion in the halal market”, says the directors of Kimly in its 1HFY2024 ended March results announcement.
The directors also highlighted that, apart from expanding their halal business, they remain focused on growing existing operations. In 1HFY2024, despite emerging from the pandemic and the return of Singaporeans to offices and overseas travel, earnings (excluding the $2.5 million gain from the sale of their confectionary business) saw a slight 0.9% y-o-y dip to $16 million from $16.2 million. In comparison, revenue increased by 1.9% y-o-y to $158.5 million.
In September 2022, Kimly announced the sale of its confectionery business, Rive Gauche Patisserie, for $2.8 million to Muginoho Global, the operator of Beard Papa’s Cream Puff. For 1HFY2024, Kimly declared an interim dividend of 1 cent per share, up from 0.56 cent per share in 1HFY2023.
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Kimly plans to enhance its market presence by opening new food stalls and acquiring strategically located coffee shops. This approach aims to broaden their revenue base and strengthen operational efficiency. The group will also take proactive steps to optimise resources, ensuring sustainable returns for shareholders and boosting profitability. On June 10, Kimly announced the acquisition of a coffee shop in Serangoon Central for $13.15 million.
The acquisition aligns with its strategy to expand its network of food outlets in Singapore and to establish new stalls at strategically advantageous locations. Kimly adds: “The group expects to strengthen its presence in the market by opening more food stalls under its food retail division, which is complemented by its central kitchen and will continue to explore opportunities to acquire or operate more strategically located coffeeshops in mature estates with established footfalls.”
