Homegrown furniture maker challenges consensus on demise of retail sector

(Oct 30): Koh Teng Kwee, chairman of Koda, is effusive in his praise of his grandsons Joshua and Julian in the company’s latest annual report for their effort in building up Commune, a proprietary brand of furniture. “I am so happy to see this brand growing fast, finding new markets and getting good feedback.”

Koda primarily makes furniture for other companies, but started producing furniture under the Commune brand in 2011. Now, the Commune brand has become a key driver of Koda’s growth.

For FY2017 ended June 30, Koda reported a 2.5 times y-o-y jump in earnings from US$1.6 million to US$4.1 million ($5.6 million), on a 33.3% increase in revenue to US$49.5 million. Commune contributed about 15% of the company’s total revenue for the year, and was the key reason its profit margins expanded.

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