KIMLY Annual Report 2018

1
Preserving Our Heritage
Progressing
with Time
K IM LY L IM IT E D | ANNUAL RE P O RT 2 0 1 8
A NNUA L R E PORT 2 0 1 8
CONTENTS
01 Corporate Profile
02 Our Businesses
03 Our Network
04 Message to Shareholders
12 Board of Directors
14 Key Management
15 Media and Investor Engagement
16 Financial Highlights
17 Financial Review
19 Corporate Information
20 Sustainability Report
Kimly Limited (the “Company”) was listed on Catalist

of the Singapore Exchange Securities Trading Limited
(the “SGX-ST”) on 20 March 2017. The initial public
offering of the Company (the “IPO”) was sponsored
by PrimePartners Corporate Finance Pte. Ltd. (the
“Sponsor” or “PPCF”).
This Annual Report has been prepared by the Company

and its contents have been reviewed by the Sponsor
for compliance with the SGX-ST Listing Manual Section
B: Rules of Catalist. The Sponsor has not verified the
contents of this Annual Report.
This Annual Report has not been examined or approved

by the SGX-ST. The Sponsor and the SGX-ST assume
no responsibility for the contents of this Annual Report
including the accuracy, completeness or correctness of
any of the information, statements or opinions made or
reports contained in this Annual Report.
The contact person for the Sponsor is Mr Joseph Au,

Associate Director, Continuing Sponsorship (Mailing
Address: 16 Collyer Quay, #10-00 Income at Raffles,
Singapore 049318 and E-mail: sponsorship@ppcf.com.
sg).
KIMLY L I M I T ED
01
COR P O R AT E P ROF I L E
Kimly Limited (the “Company” or “Kimly”, and together with

its subsidiaries, the “Group”) is one of the largest traditional
coffee shop operators in Singapore with more than 25 years
of experience. The Group operates and manages an extensive
network of 67 food outlets under -“Kimly”, “foodclique” and third
party brands, and 129 food stalls comprising Mixed Vegetable
Rice, Teochew Porridge, Dim Sum, Seafood “Zi Char”, and a Live
Seafood Restaurant.
While keeping to the heritage of a traditional coffee shop

that provides affordable food for all, Kimly is also constantly
modernising to keep up with the times and changing consumer
trends. It has adopted cashless electronic payment systems at
its food outlets and moved into the online platform for its Dim
Sum and Seafood “Zi Char” products which are available through
Deliveroo, Foodpanda, GrabFood and Honestbee.
The Company was successfully listed on Catalist of the SGX-ST

on 20 March 2017.
02
O UR BUS IN ES S ES
Outlet Management Division
Under our Outlet Management Division,

the Group operates and manages 60
coffee shops and four industrial canteens
under the “Kimly” brand and third party
brands, and three food courts under the
“foodclique” brand.
With our proven and established track

record as a food outlet operator, we have
been able to attract quality and anchor
tenants with whom we have forged strong
longstanding relationships. As at the date
of this report, Kimly maintained a healthy
occupancy rate of 98% for a total of over
500 stalls within our managed food outlets.
Food Retail Division
Catering to a broad and varied customer base and supported by our Central Kitchen, the
Group’s 129 stalls, three Tonkichi restaurants and 10 Rive Gauche confectionery shops
under our Food Retail portfolio comprises:
28
Mixed
18Rice
03
Teochew
49Dim
Vegetable Rice Garden Porridge Sum
30
Seafood
01
Live Seafood
03
Tonkichi
10
Rive Gauche
“Zi Char” Restaurant Restaurants Confectionery
Shops
Our Central Kitchens supply sauces, marinades and semi-finished food products to our
Mixed Vegetable Rice, Seafood “Zi Char” and Dim Sum stalls.
KIMLY L I M I T ED
03
O UR N E T WO RK
NORTH
67
WEST
EAST
SOUTH/
CENTRAL
FOOD OUTLETS
Our Extensive Network
The Group has an extensive network of 67 food outlets located across the heartlands of
129
FOOD STALLS
Singapore, with its food stalls serving a variety of dishes catering to consumers’ diverse
preferences. Approximately 40% of our food stalls are open 24 hours.
WEST NORTH SOUTH/CENTRAL EAST
19
FOOD OUTLETS
17
FOOD OUTLETS
14
FOOD OUTLETS
17
FOOD OUTLETS
39
FOOD STALLS
37
FOOD STALLS
21
FOOD STALLS
32
FOOD STALLS
04
MESSAGE TO S H AREH OL D ER S
“We therefore believe that

stepping up investments
in IT infrastructure and
proprietary software will
help to streamline our
business and improve
productivity.”
DEAR SHAREHOLDERS
On behalf of the Board of Directors (the “Board”), I am pleased

to share our results for financial year ended 30 September 2018
(“FY2018”). This is the second year of our reporting as a listed
Company, and we have shown a healthy performance with growth
over financial year ended 30 September 2017 (“FY2017”).
Progressing with Time

Against the prevalent competitive food and beverage (“F&B”)
landscape and changing consumer lifestyle needs, the Group is
constantly evolving and progressing to stay competitive and yet,
not losing sight on preserving our heritage and standing firm on
our commitment to deliver value to all our stakeholders. On 18
December 2018, we unveiled a four-pronged growth strategy to
re-focus on Kimly’s core business and value proposition.
With Singapore’s steady economy and growing population,

we continue to look for opportunities to further entrench our
position as one of the largest traditional coffee shop operators
in Singapore. To this end, Kimly was awarded the tender to
operate one of the “productive” coffee shops in Singapore.
Jointly facilitated by ENTERPRISE Singapore and the Housing
and Development Board (“HDB”), this was a pilot tender system
which awards new leases based on the newly introduced Price
Quality Model (“PQM”) that does not solely focus on price, but
also on qualitative initiatives that show how operators innovate
and transform traditional coffee shop formats into more efficient
KIMLY L I M I T ED
05
ones. The new model is also in line with the recommendations Another initiative is the online food delivery service where our
proposed by the government under the Food Services Industry Dim Sum has been available for online order and delivery since
Transformation Map, launched in September 2016. 2016. This year, we have expanded our food offering to include
our seafood “Zi Char” dishes which are now available for online
Operational in 3Q FY2018, the Group’s pioneer “productive” order through Deliveroo, Foodpanda, GrabFood and Honestbee.
coffee shop, located in Bukit Batok, allows Kimly to leverage
technology and other innovative features to boost productivity. Another noteworthy milestone in the year was the acquisition
The 200 seats coffee shop is outfitted with a tray return station of the restaurants and confectionery business, Tonkichi and Rive
and conveyor belts that facilitate the return of trays directly to the Gauche Patisserie (the “Tonkichi” and “RG”) from Sapporo Lion
dishwashing area. To reward customers for returning their trays, (S) Pte. Ltd, a strategic move to expand our product offerings
a QR code printer will be activated to print a QR code receipt for and provide more dining options for our customers in the local
each returned tray, for customers to receive a 10 cents rebate market. Tonkichi has been serving authentic Japanese Tonkatsu
for their next purchase at the coffee shop. We are happy to note since 1992 and currently has two outlets located in the heart of
an increase in the tray return rate at this new coffee shop, which Orchard Road, Isetan Scotts and Takashimaya, while RG offers an
contributes towards the nation’s assortment of creative and classic
goal of becoming a socially-gracious cakes at nine outlets located island-
“
society. wide. We opened our first RG outlet,
since the acquisition, in December
In addition, there is also a separate The Group will be 2018 at Clifford Centre.
conveyor belt that sends freshly
prepared “Zi Char” dishes to collaborating with NETS in Financial Performance
the serving station, as well as Allow me to first review our financial
self-service paying kiosks that
their Call-for-Collaboration scorecard. For FY2018, we recorded
promote cashless payment to raise initiative where selected net attributable profit of S$21.9
operational efficiency. million, an increase of 2.1% over the
retailers will pilot cashless previous year. This was achieved
During the financial year, the Group on the back of revenue of S$202.2
also commenced operations at payment solutions. With this million, which grew 5.3% from
a newly assigned coffee shop in
collaboration, we intend to S$192.1 million, lifted by organic
Tampines, and added another new growth from our main divisions,
coffee shop in Ghim Moh, as well gradually implement cashless outlet management and food retail,
as completed refurbishment works as well as maiden (2.5 months)
at two coffee shops in Tampines payment options at our other contributions from two food brands
and Jurong. We also ceased the
operations of a coffee shop in
food outlets island-wide in we acquired in July 2018 – Tonkichi
and RG.
Woodlands Centre as the precinct a bid to improve operational
was selected for the HDB’s Selective Our gross profit margin has
En-bloc Redevelopment Scheme efficiency. remained largely unchanged
”
and another coffee shop in Choa at 19.9% in FY2018 (20.0% in
Chu Kang as the lease has expired FY2017), reflecting our relentless
and was not renewed. Additionally, drive to improve efficiency at all
we closed two underperforming levels of operations.
food outlets in Ang Mo Kio and Jalan Sultan, bringing the total
network of food outlets to 67. Our balance sheet remains healthy. The Group generated
operating cash flow of S$9.5 million with cash and cash
In line with the changing trends towards a digital and cashless equivalents at the end of the financial year at S$71.7 million. As at
society, the Group has progressively, over the past couple of years, date of this report, the Group had utilised S$14.9 million of its IPO
been rolling out digital forward initiatives. This year, we introduced net proceeds leaving a balance of S$28.5 million.
the NETS QR code payment at Utown food court located at the
National University of Singapore and also at the new “productive” Rewarding Shareholders
coffee shop. The Group will be collaborating with NETS in their In appreciation of the unwavering support from our shareholders,
Call-for-Collaboration initiative where selected retailers will pilot the Board is recommending a final one-tier tax-exempt cash
cashless payment solutions. With this collaboration, we intend to dividend of 0.68 Singapore cents per share. Taking into account
gradually implement cashless payment options at our other food the interim dividend of 0.28 Singapore cents per share paid in
outlets island-wide in a bid to improve operational efficiency. May 2018, total dividend for FY2018 is 0.96 Singapore cents
06
MESSAGE TO S H AREH OL D ER S
Net Attributable Profit (FY2018)
S$21.9m
2.1%
2017: S$21.4m
Revenue Growth (FY2018)
S$202.2m
5.3%
2017: S$192.1m
per share, representing a payout of 50.7% of the Group’s net The Group is in the midst of developing our own brand of Iced
attributable profit for FY2018. This is subject to shareholders’ Kopi and Iced Teh to be sold at our drinks stalls, and expect to
approval at the upcoming annual general meeting (“AGM”) on 30 complete this project by March 2019.
January 2019.
2) Driving Innovation and Streamlining Outlet Operations
Forward Strategy Keeping up with the changing trends towards a digital and
Nearly two years since our listing on Catalist, we have assessed cashless society, the Group has been rolling out productive
carefully the operating environment and how Kimly can continue initiatives such as cashless payment options and Point-of-Sale
to enhance shareholder value. We believe that the path lies in (“POS”) systems. We also recently introduced an Enterprise
focusing on our core strengths, and executing four pillars of Resource Planning software which is being integrated with
growth. These are: the POS, starting with the first few outlets. Other innovations
include conveyor belts for used crockery as well as partnerships
1) Expanding Footprint and Diversifying Product Offerings with food delivery service providers – namely Grabfood,
To improve economies of scale, Kimly expects to add three to Deliveroo, Foodpanda, Honestbee and Oddle – to offer our
five new outlets each year to our portfolio of 67 as at the end fare to any location in the country.
of FY2018. Furthermore, the Group is poised to secure more
outlets through the PQM. While we laud the HDB for this 3) Synergising Central Kitchen Operations
initiative to adopt a more holistic approach to tendering such To support the growing number of outlets, we have expanded
outlets, we also believe that Kimly is well placed to participate the Central Kitchen in Woodlands from 20,000 square feet
under this new approach in view of our track record, economies to 36,000 square feet. Our focus is on increasing the bulk
of scale, technology innovation and central kitchen capabilities. procurement, freeze-storage as well as preparation of a wider
range of sauces and dim sum items centrally. This will not only
We will recognise the full 12 months of revenue contributions ease manpower constraints at the outlets but also open up
from the Tonkichi and RG in FY2019. Plans are underway to opportunities for higher sales per outlet as well as increased
build the online business of RG, starting with the launch of online delivery.
RG’s newly revamped website in October 2018.
4)
Supporting Entrepreneurship and Grooming the Next
Our research indicates that customers want well-brewed iced Generation of Business Owners
coffee and iced tea that not only consistently tastes good, but Food culture is an inherent part of Singapore lifestyle and Kimly
also offer healthier options with lower sugar or milk content. believes that its combined value proposition offers a platform
KIMLY L I M I T ED
07
– network, infrastructure and eco-system for budding F&B constituency. Since the commencement of charitable initiative in
entrepreneurs to fulfil their aspirations. In doing so, we hope to October 2018, we are delighted to see the warm response from
increase tenant retention while helping to grow the local food third party food stalls who have come forward to contribute to
culture. Indeed, several stall owners we have mentored have our efforts. 取之社会，用之社会 which also means “Giving back
gone on to become successes in their own right, launching to society what we take from it” is a cherished virtue that has
their own brands and opening up multiple stalls at our outlets guided us from the day we started our business.
island-wide.
New Board Appointment
I am confident that these strategies being executed by the next The Board is pleased to welcome Ms Wong Kok Yoong to the
echelon of managers will chart a strong foundation for Kimly’s Board as an Executive Director. As you may be aware, she has
growth for many years to come. been our CFO since June 2016, and played an important role
since our IPO. With her rich experience, I believe that she will
Giving Heart contribute much in her new capacity.
Along with our focus to build a sustainable business, we also
advocate the spirit of giving and helping those in need. Since 2015, In Appreciation
we have been supporting the North West Food Aid Fund and this In closing, I would like to thank my fellow directors for their
year, we donated S$18,000 towards the cause that requires at advice and contribution to our growth story. I would also like to
least S$1.0 million annually to assist an average of 1,300 needy express my heartfelt gratitude to our business partners, landlords,
households every month. food stall operators, associates, customers, suppliers and most
importantly our shareholders for believing in us.
Another fundraiser that we are proud to be part of was the Pasir
Ris-Punggol GRC Community Development and Welfare Fund Our achievements today would not have been possible without
Fundraising Appreciation Dinner. Aimed at the less privileged the hard work and commitment of our staff and management
families, needy students and those who require financial and team. I would like to sincerely thank them for walking this journey
social assistance, Kimly contributed S$22,000 towards this cause. with me to build a growing and sustainable business at Kimly.
We also partnered Pioneer Citizen’s Consultative Committee,

for one year, to distribute food and drinks vouchers to needy
MR LIM HEE LIAT
residents. They will be able to redeem free meals by presenting
Executive Chairman
the meal vouchers at our coffee shops located within Pioneer
08
给股东的信息
“集团坚信加增对
信息技术基础设施
和专属软件的投资
将有助于简化业务
并提高生产力。”
致各位股东
我很高兴代表董事会向各位提呈集团截至2018年9月30日
的财政年度（以下简称“2018财年”）之业绩。这是我们作
为上市公司后的第二个财政年度，相较于2017年9月30日的
财政年度（以下简称“ 2017财年”）集团表现出良好的业
绩增长。
与时俱进
面对餐饮业的激烈竞争，以及不断变化的消费者生活方式
和餐饮需求，本集团不断发展，与时俱进以保持竞争力。同
时，我们依然保留传统并坚定承诺为所有利益相关者提供
价值。我们于2018年12月18日公布了一项四管齐下的增长
策略，重新关注金味的核心业务和价值主张。
随着新加坡经济的稳定和人口的增长，我们继续寻找机会
进一步巩固我们作为新加坡最大的传统咖啡店运营商之一
的地位。为此，金味被授予在新加坡经营一家“高效”咖啡
店的招标。新加坡企业发展局和新加坡建屋发展局（以下
简称“建屋局”）联合推出一个试点招标系统，根据新推出
的价格与素质准则（以下简称“PQM”）颁发新租约，该准
则不仅仅关注业者所提呈的租金价格，也关注定性举措，
展示运营商如何发挥创意，将传统咖啡店模式转变为更高
效的咖啡店模式,新模式也符合政府在2016年9月份推出的
餐饮服务业转型蓝图中提出的建议。
KIMLY L I M I T ED
09
本集团位于武吉巴督的首家“高效”咖啡店于2018财年第今年另一个亮点是从Sapporo Lion (S） Pte. Ltd.收购日

3季度开始运营，让金味能够利用科技和其他创新功能来式餐厅和糕点业务Tonkichi和Rive Gauche Patisserie（
提高生产力。这个拥有200个座位的咖啡店具备了托盘回以下简称“Tonkichi”和“RG”）。这一项战略举措旨在扩
收站和传送带，便于托盘直接返回洗碗区。为了鼓励顾客大我们的产品范围，并为本地市场的客户提供更多餐饮选
自行退回托盘，每当顾客将托盘放入托盘传送带时，感应择。Tonkichi自1992年以来一直致力于售卖原汁原味的日
器将会启动二维码打印机打印出一张印有二维码的收据，式炸猪排，目前在乌节路中心地带的伊势丹，高岛屋和淡
以便顾客下次在咖啡店消费时获得新币10角的折扣。推出槟尼有三家分店，而RG在全岛九个商店提供各种创意和经
这项计划后，托盘退回率有所上升，我们坚信这将有助于典蛋糕。自收购以来，我们于2018年12月份在中央商业区
迈进我国创建文明和谐社会的目标。里的吉利福中心开设了首家新的RG门店。
此外，咖啡店内还设有另一个传财务业绩
送带，可以向服务站送出刚出炉
“ 请允许我先述评我们的财务表
的“ 煮炒”菜肴，以及自助支付
服务亭来推广无现金支付，因而
本集团将与NETS合作现。我们在 2018 财年录得净应
占利润为2千1 9 0万新元，较去
提高运营效率。
开展征求合作计划，年同比增加2.1％。这是于收入
2.022亿新元的基础上实现的，
选定的零售商将通过
这一年，本集团也开始了在淡滨与去年的1.921亿新元相比，增
尼和锦茂新的咖啡店面的运作，长了5. 3%，这得益于我们的主
同时还完成了在淡滨尼和裕廊
两家咖啡店的翻新工作。我们也
该计划试行无现金支付要部门，咖啡店管理和食品零
售的增长，以及来自即集团于
结束了在兀兰的一家咖啡馆的
运营，因为该区域被建屋局纳入
解决方案。通过此次 2018年7月份收购的两个食品品
牌，Tonkichi和RG的首次（2.5
选择性整体重建计划，蔡厝港的
另一家咖啡店也停止了运营，因
合作，我们打算在全岛个月）贡献。
为租约到期且未更新。另外，我
们关闭了宏茂桥和惹兰苏丹路
其他咖啡店逐步实施本集团的毛利率在2018财年基
本保持不变，为19.9％（2017财
的两个表现欠佳的餐饮店，故咖
啡店面总数为67家。
无现金支付选项，年为20.0％），反映了我们坚持
不懈地提高各级运营效率的决
为迈向数码和无现金社会，本集
以提高营运效率。心和成果。
团在过去几年中逐步推出数码我们的资产负债表保持健康，本

化前瞻性计划。今年，我们在位 ” 集团于本财年末产生了950万新
于新加坡国立大学的Utown美元的经营现金流，现金及现金等
食广场以及新的“高效”咖啡店推出了NETS二维码支付。价物为7千170万新元。截至2018年9月30日的财政年度，
本集团将与NETS合作开展征求合作计划，选定的零售商本集团已使用其首次公开募股净收益1千490万新元，现余
将通过该计划试行无现金支付解决方案。通过此次合作，额为2千850万新元。
我们打算在全岛其他咖啡店逐步实施无现金支付选项，以
提高营运效率。回馈股东
鉴于我们股东的坚定支持，董事会建议最终的一级免税现
另一项举措是在线食品配送服务，我们的点心自金股息为每股0.68新分。计入5月份支付的每股0.28新分
2 0 1 6 年起提供在线订购和送餐。今年，我们扩大的2018年中期股息，2018财年的总股息为每股0.96新分，
了食品供应，包括海鲜“ 煮炒 ”菜肴，现可通过相当于本集团2018财年应占净利润的50.7％。这需要即将
Deliveroo，Foodpanda，GrabFood和Honestbee进行在2019年1月30日召开的年度股东大会上获得股东的批
在线订购。准。
10
给股东的信息
净应占利润（2018财年）
2千190万新元
2.1%
2017: 2千140万新元
收入增长（2018财年）
2.022亿新元
5.3%
2017: 1.921亿新元
前瞻策略简称“ P O S ”）系统等一系列有成效的举措。我们最

在凯利板上市近两年，我们仔细评估了运营环境以及金味近还推出了一个企业资源规划软件，该软件与 P O S
如何继续提升股东价值。我们相信，这条道路的重点在于集成现于几个店面开始试用。其他创新举措还包括
我们的核心优势，并执行四管齐下策略，分别是：用于餐具的传送带以及与食品配送服务提供商（即
Grabfood，Deliveroo，Foodpanda，Honestbee和
1)扩大市场和产品多元化
Oddle）的合作伙伴关系，以便将我们的食品提供给国
为了提高规模经济效益，我们预计将于2018财年末达到
内各个地区。
的67家咖啡店面，增加三到五家新的咖啡店面。此外，本
集团准备通过PQM获得更多店铺。在赞扬建屋局采取这 3)改善中央厨房运作
一更全面的方式来招标店铺的同时，我们也相信，鉴于为了应付店面数量的增长，我们将兀兰的中央厨房从
我们的过往成就，规模经济，技术创新和中央厨房能力， 20,000平方英尺扩展到36,000平方英尺。我们着重增加
金味有能力参与这一新举措。批量采购，冷冻储存以及集中准备更多种类的酱料和点
心类产品。这不仅可以节省店面对人力的需求，还可以
我们将录入Tonkichi和RG在2019财年12个月的收入贡
为每个店面提供更高的销售额以及增加在线订购和送
献。我们正在计划建立RG的在线业务，首部是从2018年
餐。
10月份推出RG新改版的网站开始。
4)支持创业并培养下一代餐饮业者
我们的评估显示顾客想要精心调制的冰镇咖啡和茶饮，
饮食文化是新加坡生活方式的根本，金味认为其综合价
不仅要有一贯的美味，而且还要能提供低糖和低牛奶占
值主张提供了一个平台- 网络，基础设施和生态系统 - 让
比的更健康的选择。本集团正在开发自己的品牌冰镇咖
刚崭露头角的餐饮企业家实现他们的抱负。在此过程
啡和茶饮，将在集团旗下的饮料档口出售，预计在2019
中，我们希望在帮助发展当地饮食文化的同时提高租户
年3月份前完成该项目。
保留率。事实上，我们指导的几个摊主已经凭借自己的力
2)促进创新并简化运作流程量取得了成功，推出了自己的品牌，并在全岛各地开设了
为了跟上数码化和无现金社会不断变化的趋势，集多个摊位。
团一直在推出诸如无现金支付选项和销售网点（以下
KIMLY L I M I T ED
11
我相信，这些由下一代管理人员执行的策略将为金味未来新董事任职
多年的发展奠定坚固的基础。董事会很高兴欢迎王国蓉女士担任董事会执行董事。诸如
各位所知，她自2016年6月份起担任我们的首席财务官，也
奉献爱心在我们首次公开募股以来，扮演了重要的角色。凭借着她
除了致力于建立可持续发展的业务外，我们还提倡服务精丰富的经验，我相信她将为她的新职位做出更多贡献。
神，挺身帮助弱势群体。自2015年以来，我们一直支持西
北食品援助基金。今年，我们向该基金捐赠了18千新元。致谢
该基金每年至少需要100万新元来帮济每月平均1千3百个最后，我要感谢我的董事们对集团成长轨迹提供的建议和
贫困家庭。做出的贡献。我还要向我们的商业伙伴，店主，食品摊位经
营者，员工，客户，供应商以及最重要的是我们的股东表示
我们引以为豪的另一个筹款活动是白沙–榜鹅集选区社区衷心的感谢。
发展和福利基金筹款晚宴。该活动是针对贫困家庭，贫困
如果没有我们的员工和管理团队的辛勤工作和奉献，就没
学生以及需要经济和社会援助的人，金味为此活动捐款22
有我们今天的成就。我真诚地感谢他们和我一起走过这段
千新元。
旅程，给金味建立起一个不断进步和可持续发展的业务。
我们还与先驱市民咨询委员会合作了一年，向有需要的居
民分发食品和饮料券。他们可以通过我们在先驱的咖啡店
出示这些优惠券来兑换免费餐点。自我们在2018年10月
林喜烈先生
份展开这项慈善活动以来，我们很高兴看到第三方食品摊
执行主席
位对这项活动的接纳和参与。取之社会，用之社会也意味
着“用我们从社会中获取的东西回馈社会”
，这是一种值得
珍惜的美德，它从我们创业之日起就一直引导着我们。
12
BOA R D O F D I REC TORS
As a founding shareholder of the Group, investment opportunities to promote the growth

Mr Lim Hee Liat has more than 25 years of of the business.
experience in the coffee shop and F&B industry
and is instrumental to the Group’s continued Mr Lim is a patron of Taman Jurong Community
success and growth. He oversees the overall Club Management Committee and a member
development and performance of the Group, of the School Advisory Committee of Temasek
Mr Lim Hee Liat setting and executing strategic directions as Secondary School.
Executive Chairman well as expansion plans, including sourcing for
• Member of the Nominating
Committee
Mr Chia Cher Khiang is responsible Operations Manager of Chai Chee Noodle

for strategising and implementing key Village from 2003 to 2005. In 1996, he joined
improvements to the Group’s various processes Asia Pacific Breweries (S) Pte Ltd as an Assistant
so as to continually raise the Group’s standards Sales Manager. Mr Chia started his career at
of productivity and food quality. Part of his Suntec F&B Holding Pte Ltd as an Assistant
portfolio also includes monitoring the key Restaurant Manager, where he was involved in
Mr Chia Cher Khiang performance indicators of the Group’s centralised setting up Suntec Terrace Café.
Executive Director functions, such as the Central Kitchen, human
resources and procurement. He also assists the Mr Chia obtained a Diploma in Sales and
Executive Chairman in managing the Group’s Marketing from the Marketing Institute of
overall business development, expansion and Singapore in 2003, as well as a Statement of
various other business processes. Attainment for the PI-PHQ-303E-1 Apply Food
Safety Management Systems for Food Service
Mr Chia has more than 20 years of experience in Establishments at Singapore Polytechnic from
the F&B industry. Prior to joining the Group in the Singapore Workforce Development Agency
2006, he held the post of Operations Manager in 2015. He is a member of the School Advisory
at S-11 F&B Holdings Pte Ltd, a coffee shop Committee of Temasek Secondary School.
and food stall operator. He was the Group
Ms Wong has been appointed as the Finance Investment Banking Group. She started her
Director of Kimly with effect from 29 November career as an auditor with Arthur Andersen
2018. She held the position of Group CFO since Kuala Lumpur in 2000 and was an Audit Senior
June 2016, and has been responsible for the Manager at Ernst & Young LLP, Singapore when
overall financial management, reporting and she left in 2013.
internal control matters for the Group.
Ms Wong Kok Yoong Ms Wong graduated with a Bachelor of
Finance Director Ms Wong has over 16 years of experience in Accountancy from the Northern University
• Appointed on 29 November 2018 audit, accounting and finance. Prior to joining the of Malaysia in 2000. She is a member of
Group, she held the post of Regional Financial the Malaysian Institute of Certified Public
Controller for Connell Brothers Singapore, a Accountants and a Chartered Accountant of the
multi-national corporation and Regional Head, Malaysia Institute of Accountants.
Financial Planning & Analysis at Maybank
KIMLY L I M I T ED
13
Mr Ter Kim Cheu has more than 30 years of also a member of the Securities Industry Council
experience in the legal industry and currently from 1993 to 1997.
provides legislative consultancy services
overseas. He was appointed an Independent Mr Ter graduated with a Bachelor of Social
Director of Hong Leong Finance Limited in Science (Honours) degree from the University
2010. Having retired from the Singapore Legal of Singapore (now known as the National
Mr Ter Kim Cheu Service, Mr Ter is now a member of the Strata University of Singapore) in 1970. He
Lead Independent Director
Titles Boards and Audit Committee member of subsequently graduated with Bachelor of Law
• Chairman of the Nominating the Singapore Sports Council. and Master of Law degrees from the University
Committee and a member of the of London in 1976 and 1977 respectively. Mr Ter
Audit and Remuneration
Prior to his retirement in 2008, he was the was admitted as an advocate and solicitor of the
Committees
Parliamentary Counsel and Principal Senior Supreme Court of Singapore in 1980 and is also
State Counsel (Legislation Division), Attorney- a Barrister-at-Law, having been called to the
General’s Chambers, Singapore and a Law English Bar at Lincoln’s Inn in 1977.
Revision Commissioner of Singapore. Mr Ter was
Mr Wee Tian Chwee Jeffrey’s professional Mr Wee is a practising member of the Institute
experience includes the audit of diverse of Singapore Chartered Accountants and a
companies ranging from small and medium Fellow of The Association of Chartered Certified
enterprises to Singapore Listed Companies and Accountants.
multinationals. He also worked for Metal Box
Singapore Limited as Chief Accountant prior to
Mr Wee Tian Chwee
practise as a public accountant at T. C. Wee &
Jeffrey
Co., which he established since 1981.
Independent Director
• Chairman of the Audit
Committee and a member of
the Remuneration Committee
Mr Lim Teck Chai Danny has more than 20 Director of TEE Land Limited, UG Healthcare
years of experience in the legal industry and Corporation Limited, Stamford Land Corporation
is currently an equity partner in Rajah & Tann Ltd and Choo Chiang Holdings Ltd, all of which
Singapore LLP. He joined the law firm in 1998 are companies listed on the SGX-ST.
and has since been practising and advising
on all aspects of corporate legal advisory Mr Lim graduated with a Bachelor of Law
Mr Lim Teck Chai
and transactional work, both locally and (Honours) degree from the National University
Danny regionally. He has a wide range of experience of Singapore in 1998 and a Master of Science
in acquisitions, investments, takeovers, initial (Applied Finance) degree from the Nanyang
• Chairman of the Remuneration public offerings and restructurings, amongst Technological University in 2006. He has been
Committee and a member of the
others, and his clients include multi-national admitted as an advocate and solicitor of the
Audit and Nominating Committees
corporations, small medium enterprises, private Supreme Court of Singapore since 1999 and is a
equity and institutional investors, Singapore and member of the Law Society of Singapore and the
foreign listed companies, financial institutions Singapore Academy of Law.
and others. Mr Lim is also an Independent
14
KEY MA NAG EM EN T
Mr Peh Kim Leong Sunny was appointed as the a Marketing Executive of Epson Singapore Pte
Group’s Head of Outlet Operations in 2008. Ltd between 2006 and 2007. Mr Peh started his
He is responsible for the overall management career as a Weapons System Specialist with the
and oversight of the Group’s food outlets and Republic of Singapore Air Force in 1998.
Operations Managers, including the setting up
of new food outlets as well as coordinating and Mr Peh graduated with a Diploma in Electrical
Mr Peh Kim Leong monitoring compliance with the applicable laws, Engineering from Ngee Ann Polytechnic in 1997.
Sunny regulations and licensing requirements across He subsequently obtained a Degree in Business
Head of Outlet Operations the Group. Administration from the University of Canberra
in 2009.
Prior to joining the Group, Mr Peh held the post
of Sales Executive at Excel Singapore. He was
KIMLY L I M I T ED
15
MED IA A ND I N V ES TOR EN GAG EMEN T
On 18 December 2018, three

members of our management It was a hectic day for Ms Wong, In the afternoon, it was time to
team sat down with the media and Mr Tan and Mr Yeo, who first held a meet investors and analysts in a
investor community to present the closed-doors session with members conference room at Samsung Hub.
Group’s Corporate and Business of the media in the morning.
Update.
END OF YEAR: Ms Wong Kok Yoong, CFO & BURNING QUESTIONS: Mr Ronnie Yeo, Business FULL HOUSE: The conference room was fully
Finance Director and Mr Tan Chong Sing, Head of Development Manager responds to queries from packed with almost 40 investors and analysts
Special Projects and HR engage with the media to the journalists. attending.
shed some light on Kimly’s achievements in 2018.
The management team took turns The turnout exceeded our In a nearly three-hour long session,
engaging with participants in a expectations and highlights the Ms Wong, Mr Tan and Mr Yeo
discussion about Kimly’s core investor community’s growing engaged with investors and analysts
business and plans for the future. interest in Kimly to discuss Kimly’s forward-looking
strategies for 2019 and beyond.
TIME TO INVEST: Ms Wong, Mr Tan and Mr Yeo DIGGING DEEPER: Investors and analysts had QUESTIONS ANSWERED: Mr Tan does his best
go through Kimly’s performance in 2018 and its ample time to have all their questions answered to answer all questions and help the investor
outlook for 2019. after the presentation. community better understand Kimly’s business.
16
FINA N CIA L H I G H L I G H T S
Revenue (S$’M) Gross Profit (S$’M) & Gross Profit Margin (%)
202.2
192.1
21.4% 21.6%
21.1%
172.2 20.0%
19.9%
156.0
148.9
40.2
37.2 38.4
33.5
31.4
FY FY FY FY FY FY FY FY FY FY
2014 2015 2016 2017 2018 2014 2015 2016 2017 2018
Profit for the year (S$’M) Revenue Breakdown by Business Segment
58+42
FY2017
42% 58%
24.2
S$80.9m S$111.2m
22.5
21.4 21.9
20.1
56+44
FY2018
44% 56%
S$88.6m S$113.6m
FY FY FY FY FY
2014 2015 2016 2017 2018 Outlet Management Division Food Retail Division
KIMLY L I M I T ED
17
FINAN CIA L REV I EW
Review of the Group’s Financial Performance
Revenue
The Group achieved record revenue of S$202.2 million in FY2018
“Higher contributions
compared to S$192.1 million in FY2017. The increase of S$10.1
million was mainly due to two factors. First, higher contributions of S$7.7 million
of S$2.4 million from the Outlet Management Division following
the commencement of operations of new coffee shops and drinks
stalls in the later half of FY2017. These new outlets gave rise
from the Food Retail
Division, driven by
to an increase in income from the sub-leasing of stalls and the
provision of related cleaning and utilities services. Second, higher
contributions of S$7.7 million from the Food Retail Division,
driven by the new food stalls as well as Tonkichi and Rive Gauche,
being the restaurants and confectionery businesses that the the new food stalls
Group acquired in July 2018.
Cost of Sales
as well as Tonkichi
In tandem with the higher revenue, cost of sales increased by
S$8.4 million to S$162.0 million in FY2018. The increase was and Rive Gauche.”
mainly due to three factors. Employee benefits expenses (for
Central Kitchen and outlet/stall staff) rose by S$2.5 million as
more staff were added for coffee shops and food stalls which Review of the Group’s Financial Position
commenced operations in FY2018 as well as the newly acquired The Group’s financial position as at 30 September 2018 was
Tonkichi and RG businesses. Along the same vein, operating lease healthy, with a cash position of S$71.7 million.
expenses increased by S$4.0 million. Moreover, cost of goods
rose by S$1.1 million in line with higher revenue. Cost of sales The Group’s total assets rose to S$115.8 million as at 30
as a percentage of total revenue remained constant at 80.1% in September 2018 from S$106.2 million a year earlier.
FY2018 compared to 80.0% in FY2017.
Non-Current Assets
Gross Profit The Group’s non-current assets increased by S$9.7 million on
With the higher revenue, gross profit rose 4.5% or $1.7 million to the back of higher intangible assets of S$3.3 million, additions in
S$40.2 million in FY2018. Gross profit margin steadily maintained property, plant and equipment of S$4.5 million and increase in
at 19.9% compared to 20.0% in FY2017. other receivables (non-current) of S$3.5 million. These were offset
by depreciation, write-off of property, plant and equipment and
Operating Expenses amortisation of intangible assets of S$2.5 million, S$0.2 million
Selling and distribution expenses rose by S$0.8 million due mainly and S$0.3 million, respectively. Intangible assets increased mainly
to higher online food delivery fees, pest control services, and due to the brand value arising from the acquisition of Tonkichi and
cleaning and packaging materials expenses, in line with the higher RG businesses of S$0.9 million, increase in lease assignment fees
revenue. of S$2.3 million paid to a previous tenant of the Group’s leased
premise when the lease was transferred to the Group during
Administrative expenses increased from S$13.0 million in FY2017 3Q FY2018, as well as additions to computer software of S$0.1
to S$14.0 million in FY2018 due to higher employee benefits million.
expenses by S$1.0 million arising from increases in headcount
and salaries, incentive bonuses for executive directors, higher The additions of property, plant and equipment of S$4.5 million
depreciation of property, plant and equipment by S$0.6 million attributable to (i) construction in-progress in respect of an
in line with the increase in property, plant and equipment, and extension of the Group’s four storey annex factory building, (ii)
higher professional fees of S$0.4 million. The overall increase was additions of motor vehicles, (iii) additions to renovations and
offset by the absence of one-off listing expenses of S$1.0 million equipment with the opening of our new coffeeshops and food
incurred in FY2017. stalls in FY2018, (iv) provision for restoration costs, and (v)
additions arising from acquisition of Tonkichi and RG businesses
Net Profit of S$0.7 million.
In view of the above, the Group recorded a healthy net profit
attributable to owners of the Company of S$21.9 million, an Other receivables (non-current) comprised (i) the refundable
increase of 2.1% compared to S$21.4 million in FY2017. deposits relating to rental deposits placed with lessors for the
KIMLY L I M I T ED A NNUA L R E PORT 2 0 1 8

18
FINA N CIA L REVI EW
leases of coffee shops, restaurants and confectionery shops payable of S$0.3 million and a provision of restoration cost of
which are due to expire in more than one year and recoverable S$0.1 million.
upon termination or expiration of the leases, amounting to S$5.3
million, (ii) the non-current portion of staff loans amounting to Non-Current Liabilities
$0.2 million as at 30 September 2018 (30 September 2017: S$4.5 The Group’s non-current liabilities increased by S$0.4 million
million and S$0.1 million respectively), and (iii) the consideration due to an increase of S$0.2 million in the non-current portion of
receivable of S$2.6 million pursuant to the rescission of the rental deposits from tenants, and a provision of restoration costs
acquisition of Asian Story Corporation Pte. Ltd. of S$0.1 million.
Current Assets Statement of Cash Flow

Current assets increased by S$1.3 million due mainly to an The Group generated net cash of S$7.2 million from operations
increase in trade and other receivables of S$14.3 million and in FY2018. This came from operating cash flows before changes
higher prepayments for purchase of equipment of S$0.5 million. in working capital of S$27.7 million and interest income of S$0.7
This was partially offset by a decline in cash and cash equivalents million, offset by net working capital outflows of S$18.2 million
and inventories by S$13.4 million and S$0.1 million respectively. and income tax paid of S$2.9 million. The net working capital
outflows were due to an increase of S$17.8 million in trade
The decrease in cash and cash equivalents was mainly due to and other receivables; a rise of S$0.5 million in prepayments; a
additions of property, plant and equipment and intangible assets of decrease of S$0.1 million in trade and other payables, partially
S$6.9 million; payments related to the acquisition of the Tonkichi offset by a decrease of S$0.2 million in inventories.
and RG businesses of S$1.8 million, payment of dividends of
S$11.1 million; and purchase of treasury shares of S$0.8 million, The Group’s net cash flows used in investing activities amounted
offset by the cash generated from operating activities of S$7.2 to S$8.7 million, mainly due to net cash outflow of S$1.8 million
million. for the acquisition of the Tonkichi and RG businesses, and purchase
of property, plant and equipment and intangible assets of S$4.3
Current Liabilities million and S$2.5 million, respectively.
Total liabilities as at 30 September 2018 stood at S$32.2 million,
little changed from S$32.5 million a year earlier. Net cash flows from financing activities of S$12.0 million during
FY2018 were maining attributable to payment of dividends of
Current liabilities decreased by S$0.8 million as trade and other S$11.1 million, and purchase of treasury shares of S$0.8 million.
payables declined by S$1.2 million due to a decrease in payable
for the purchase of property, plant and equipment and intangible As a result, net cash and cash equivalents decreased by S$13.4
assets of S$0.9 million. This was mitigated by an increase in tax million in FY2018.

19
COR P O R ATE I N FORM AT I ON
Registered Office Remuneration Committee
13 Woodlands Link Mr Lim Teck Chai Danny (Chairman)

Singapore 738725 Mr Wee Tian Chwee Jeffrey
Tel: (65) 6289 1605 Mr Ter Kim Cheu
Fax: (65) 6280 1605
Sponsor
Website
PrimePartners Corporate Finance Pte. Ltd.
www.kimlygroup.sg 16 Collyer Quay
#10-00 Income at Raffles
Singapore 049318
Board of Directors
Mr Lim Hee Liat Independent Auditor

Executive Chairman
Ernst & Young LLP
Mr Chia Cher Khiang One Raffles Quay
Executive Director North Tower, Level 18
Singapore 048583
Ms Wong Kok Yoong
Finance Director Partner-in-charge: Tan Swee Ho
(since financial year ended
Mr Ter Kim Cheu 30 September 2016)
Lead Independent Director
Mr Wee Tian Chwee Jeffrey Share Registrar

Boardroom Corporate &
Mr Lim Teck Chai Danny Advisory Services Pte. Ltd.
Independent Director 50 Raffles Place
#32-01 Singapore Land Tower
Singapore 048623
Audit Committee
Mr Wee Tian Chwee Jeffrey (Chairman) Joint Company Secretaries

Mr Lim Teck Chai Danny
Mr Ter Kim Cheu Loh Lee Eng (ACIS)
Hoon Chi Tern (LLB (Hons))
Nominating Committee
Mr Ter Kim Cheu (Chairman)

Mr Lim Teck Chai Danny
Mr Lim Hee Liat

20
SUSTAINABILTY
REPORT
CONTENTS
21 Executive Chairman’s Message 33 Protecting the Environment
22 Kimly’s Sustainability Story 33 Energy and Emissions Management
24 Organisation Profile 34 Water Conservation
25 Ethics and Integrity 34 Effluents and Waste Management
26 Governance and Statement of the Board 34 Environmental Compliance
27 Stakeholder Engagement 35 Contributions to Our Community
28 Reporting Practice 35 Pioneering Innovation
29 Our Customers 36 Creating Employment and Job Opportunities
29 Food Health and Safety 36 Preserving Our Hawker Culture
30 Customer Safety 36 Corporate Social Responsibility
31 Our People 37 Socioeconomic Compliance
31 Occupational Health and Safety 38 SGX Five Primary Components Index
32 Employee Diversity 39 GRI Standards Content Index
32 Employee Benefits
32 Training and Education
KIMLY L I M I T ED
21
EXECUTIVE CHAIRMAN’S MESSAGE
Dear Stakeholders,
We are very pleased to present the inaugural Sustainability Report of Kimly Limited (“Kimly”).
Kimly’s core vision is to be the preferred coffee shop operator by food stall operators and customers. In order to achieve this, Kimly
endeavours to develop a sustainable food value chain that pays particular attention to four key areas, namely Food Health & Safety
for our customers, Occupational Health & Safety for our staff, Protecting the Environment, and Creating Employment and Job
Opportunities for local communities.
Kimly is committed to upholding high food quality and safety standards. To achieve and maintain such standards, we implement
stringent supplier selection and strict food safety control measures in all stages of our operations, from food storage to preparation,
and to food stalls management. We endeavour to serve wholesome food products to our customers.
The Group has implemented detailed operating procedures to ensure employee health and safety. We commit to protect our employees
from safety hazards and strive for zero safety incidents in our operations.
Kimly endeavours to develop a sustainable foodservice business operation. We have implemented measures to reduce the environmental
impacts of our daily operations. We will continue to invest in increasing the efficiency of our kitchen and food stall equipment to
achieve our environmental sustainability goals.
Kimly is a strong advocate of giving back to the society. As we expand and grow, we hope to be able to create more job opportunities
for middle-aged locals in the areas of food retail and coffee shop management.
Kimly values the opinions of its stakeholders. Through active engagements with stakeholders, we have developed a deeper understanding
of the concerns of our customers, suppliers, vendors, employees, shareholders and regulators. The Group takes into account the
concerns of the abovementioned stakeholders when it plans for the future.
The Group is committed to consciously seek sustainable ways to operate our business and will continue to place emphasis on good
sustainability practices.
Sincerely,
MR LIM HEE LIAT
Executive Chairman
22
SU S TA IN A BILT Y REP ORT
KIMLY’S SUSTAINABILITY STORY
Sustainability Philosophy in Foodservice
At Kimly, we endeavour to benefit the economy, environment and society through the development of a sustainable food value chain.
ECONOMIC IMPACTS
• Increase Profits
• Create Jobs
• Improve Food Supply
INCLUSIVE GREEN
GROWTH GROWTH
SUSTAINABLE
SOCIAL IMPACTS
DEVELOPMENT
• Protect Public Health
• Serve Nutritional and
ENVIRONMENTAL IMPACTS
Healthy Food
• Reduce Carbon Footprint
• Ensure Employee Health
• Reduce Water Footprint
and Safety
• Improve Energy
• Protect Employee Rights
ECO-SOCIAL Efficiencies
• Promote Hawker Culture
PROGRESS
• Uphold Animal Welfare
• Helping the less-fortunate
Sustainable Food Value Chain1
We adopt a holistic and responsible approach to sustainable development and simultaneously consider the short-term and long-term
economic, environmental and social impacts of the decisions we make. In order to operate in line with our sustainability philosophy,
sustainability agenda is taken into consideration in the setting of key performance indicators (“KPIs”) and management incentives. By
offering healthier and safe food options at reasonable prices, we have been able to ensure that our customers can consume nutritious
meals which are affordable at our various neighbourhood coffee shops. We have started to offer brown rice at our Mixed Vegetable
Rice stalls. We have conducted calorie count for the food served at our food courts in the universities, and displayed Health Promotion
Board’s (“HPB”) healthier choice logo on food which contains less than 500 calories per serving.
1
Sustainable Food Value Chains Knowledge Platform. Retrieved from: http://www.fao.org/sustainable-food-value-chains/what-is-it/en/
KIMLY L I M I T ED
23
KIMLY’S SUSTAINABILITY STORY
Due to the perishable nature of our raw materials, our central

kitchen makes daily deliveries to our food stalls so that the food
prepared at our food stalls are always fresh and safe for our
customers.
Daily deliveries from
Apart from ensuring no hygiene lapses in the areas of food central kitchen to food stalls
storage and food preparation, we source our ingredients from
licenced, AVA-approved suppliers and adopt a First-Expired-First-
Out System to ensure quality and freshness of our ingredients.
Fresh and safe food

In addition to our focus on food health and safety and occupational
for customers
health and safety matters, Kimly continues to actively pursue
environmental-friendly ways in its daily operations through
equipment upgrading and pollution prevention to achieve
resource efficiency. We are also actively contributing to the
society by creating employment and job opportunities for the No hygiene lapses in food
local communities where we operate in. storage and food prepartion
We have also continuously expanded our presence in the

various neighbourhoods of Singapore thus creating more job
opportunities for potential hawkers and workers. The manpower
requirement at each new coffee shop is about 8 to 10 employees Ingredients from licenced,
and another 6 to 8 if we provide the cleaning services in-house. AVA-approved suppliers
Sustainability Targets
98%
The Group recognises the importance of food health and safety
compliance at our food stalls and will continue to strive for a zero- 98% occupancy rate at
incident rate. Kimly’s 500 food stalls
We believe that employees are the organisation’s greatest assets.

The Group is committed to nurture and groom all employees
and stretch them to their fullest. We will continue to provide
opportunities for our staff to upgrade their current skillsets or
pick up new skills.
Noteworthy Achievements
Environmentally, we are committed to reducing our carbon

The Group’s continual success for the past 28 years enabled us
footprint as far as possible. We are currently exploring the use of
to continue to enhance enterprise value for shareholders and
more eco-friendly-materials for packaging and using energy and
provide better options for our customers.
water saving equipment in our coffee shops.
Kimly enjoys the distinction of being one of the largest traditional

Active involvement in charities and implementation of socially
coffee shop operators in Singapore. It enjoys a 98% occupancy rate
responsible practices at home and overseas enabled us to achieve
at its 500 food stalls in Singapore. Kimly is also a well-established
greater customer loyalty and community support. We aim to
food stall operator, operating one of the largest chains of Dim
collaborate more strategically with various stakeholders such as
Sum, “Zi Char” and Mixed Vegetable Rice stalls in Singapore. The
non-profit organisations and academic institutions to bridge the
food stalls operated by Kimly are supported by well-equipped
gap between the Group and the local communities.
central kitchens.
24
ORGANISATION PROFILE
Company Name: Kimly Group Limited
Company Headquarters: Singapore
Founded: 1990; listed on Catalist of Singapore Exchange

Securities Trading Limited (“SGX”) in March 2017
Kimly Limited is one of the largest traditional coffee shop

operators in Singapore that has been in operations since 1990.
It has 2 business divisions, namely Outlet Management and Food
Retail.
Outlet Management
Kimly’s outlet management division engages in the sale of food,

beverages, and tobacco products; leasing of food outlet premises
to tenants; and provision of cleaning and utilities services to
tenants, as well as management services to third party coffee
shops. The Group operates and manages 60 coffee shops and
four industrial canteens under the “Kimly” brand and third party
brands, and three food courts under the “foodclique” brand.
Food Retail
The food retail division is involved in the retailing of cooked food

directly to consumers through the Group operated 28 Mixed
Vegetable Rice stalls, 18 Rice Garden stalls, three Teochew Porridge
stalls, 49 Dim Sum stalls, 30 Seafood “Zi Char” stalls and one Live
Seafood restaurant. The Group operates 3 central kitchens that
supplies sauces, marinades and semi-finished food products to
its 129 food stalls, which enables it to have better control over
its business processes and generate cost savings. The Group’s
acquisition of Tonkichi and Rive Gauche Patisserie businesses in
July 2018 further expanded Kimly’s product offerings to provide
more dining options for customers in the local market.
The Group completed the construction of a new annex building in

the fourth quarter of the financial year ended 30 September 2017,
the final phase of upgrading of the existing Central Kitchen is to
be completed by 2HFY2019. The new facilities are equipped with
new equipment, machinery and software that will help increase
operational efficiencies.
Please refer to the other sections of the Annual Report for our 3 central kitchens that supplies sauces, marinades and semi-finished food products to its
129 food stalls.
financial performance in FY2018.
KIMLY L I M I T ED
25
ETHICS AND INTEGRITY improprieties in matters of financial reporting or other matters

with the AC. The objective for such arrangement is to ensure
Code of Conduct independent investigation of such matters and the appropriate
follow-up action. Details of the Company’s whistle-blowing policy
Kimly places a strong emphasis on ethics and compliance in its can be found on the corporate website at www.kimlygroup.sg.
daily operations and interaction with suppliers. On a Group level,
we practise a Suppliers Code of Conduct (“Code”) which applies Anti-corruption
to all current and future suppliers. All key suppliers are required
to comply with the Code. By complying with the Code, Suppliers GRI 205-1, 205-2, 205-3
commit that all their business dealings are handled with integrity,
transparency and honesty. Integrity, responsibility and accountability are the core principles
of Kimly. There is an Employee Code of Conduct in place that
No form of fraud, corruption, bribery, extortion or other behaviour reiterates Kimly’s firm position against corruption and bribery and
involving improper benefits will be tolerated. Any situation that provides a framework for all staff to adhere to in their dealings
has actual, perceived or potential conflicts of interest must be with customers, business partners and other colleagues. Our
disclosed to the Group. stand against corruption and bribery is also clearly communicated
to all our business partners before they commence dealings with
In the course of conducting our business, the Group recognises our Group. Under our Code, suppliers are expected to comply
that there will be occasions when it is appropriate, out of courtesy with applicable anti-corruption laws and regulations.
and relationship building, to give or receive small gifts of nominal
value or provide and receive modest business entertainment to or In FY2018, there were no reported cases of corruption.
from our business associates. However, the Group is committed
to conducting all business without undue influence. The Code Dealing in Securities
requires us to exercise good judgement and practice moderation
in giving and receiving business gifts and entertainment. Suppliers The Company has issued a guideline on share dealings to its
must not enter into transactions with our employees that create Directors and officers (including employees with access to price
a conflict of interest. sensitive information on the Company’s shares) of the Group
which sets out the code of conduct on transactions in the
Suppliers must respect the Group’s intellectual property, trade Company’s shares by these persons, the implications of insider
secrets and all other confidential, proprietary or sensitive trading and general guidance on such dealings.
information, and may not use or disclose any such information
except in accordance with the terms of their contract with the In line with Rule 1204(19) of the Rules of Catalist, the Company
Group, and for the benefit of the Group. issues a notification to its Directors and Officers of the Company
informing them that they should not deal in the securities of the
It is the responsibility of the supplier to ensure its employees and Company during the periods commencing one month before the
representatives understand and comply with this Code. Failure to announcement of the Company’s full-year results and two weeks
adhere to the Code may be grounds for the Group to terminate before the Company’s quarterly results until after the release of
the supplier relationship, depending on the circumstances and the the announcement. They are also discouraged from dealing in the
seriousness of the violation. All reported instances of breaches Company’s shares on short term considerations.
and non-compliance will be investigated fairly and thoroughly.
The Board confirms that for FY2018, the Company, its Directors
Whistle-blowing Policy and Officers have complied with Rule 1204(19) of the Rules of
Catalist.
The Company has in place a whistle-blowing policy endorsed by
the Audit Committee (“AC”), by which staff of the Group and any
other persons may, in confidence, raise concerns about possible
26
GOVERNANCE AND STATEMENT OF THE BOARD
Established to drive Kimly’s sustainability efforts, the Board oversees the Group’s sustainability reporting framework by monitoring the
environment, social and governance issues that impact the Group’s sustainability of its business the Group’s Sustainability Taskforce
comprising key management personnel and representatives from various business units is responsible for formulating the sustainability
framework, spearheading initiatives and monitoring its sustainability performance. The Taskforce is chaired by the Head of Outlet
Operations and reports to the Board of Directors.
BOARD OF DIRECTORS
SUSTAINABILITY TASK FORCE

WORK TEAMS
OUTLET MANAGEMENT FOOD RETAIL
FINANCE HUMAN RESOURCE
The Taskforce reviews the Group’s sustainability objectives, challenges, targets and progress to align with strategic direction of the
Group, and supervises the work teams in implementing and tracking sustainability data and progress. The Board oversees the process
to engage stakeholders and identify material topics. The Board has considered sustainability issues as part of our strategic formulation,
approved the material environmental, social and economic topics identified and overseen that the factors identified are managed and
monitored.
The Group also adopts a precautionary approach in strategic decision making and daily operations by implementing a risk management
framework. Please refer to the ‘Corporate Governance Report’ in the Annual Report for more details.
KIMLY L I M I T ED
27
STAKEHOLDER ENGAGEMENT
The Group understands sustainable growth is dependent on meeting and exceeding the expectations of our key stakeholders. We
determine the material topics based on the principle of materiality to stakeholders.
We value involvement of all of our stakeholder groups and use a variety of channels to engage with them as well as collect their
feedback. We identify stakeholders as groups that have an impact, or have the potential to be impacted by our business, as well as
those external organisations that have proficiency in areas that we consider material. The feedback we receive from our stakeholders
helps us determine our material topics and identify our focus areas.
The following table summarises our key stakeholders, engagement platforms and their key concerns.
Stakeholders Engagement Platforms Areas of Concern Section Reference
Customers • Customer surveys/reviews • Food Safety & Hygiene • Food Health and Safety
• Advertisements/media • Variety of food • Customer Safety
Campaigns • Customer Service and Food
Quality
Employees • Regular dialogues • Remuneration and benefits • Our People

• Team bonding events • Training and development
• Service appraisal & staff • Health and safety
recognition • Career & Development
Opportunities
• Customer Relationship
Management skills
Stallholders • Daily interactions • Food court environment and • Occupational Health and Safety
• Regular feedback sessions maintenance • Food Health and Safety
• Sustaining customer brand
loyalty
Suppliers • Supplier evaluation • Positive supplier relationship • Food Health and Safety
• Supplier management management • Code of Conduct
Community • Corporate social responsibility • Community engagement services • Contributions to Our Community
programmes
• Sponsorships
• Corporate Donations
Government and • Industry seminars • Food safety compliance • Food Health and Safety
Regulators • Focus group discussions with National Environmental • Environment Compliance
Agency (“NEA”) and Agri-Food • Annual Report
and Veterinary Authority of
Singapore (“AVA”)
• Economic performance
Shareholders and • SGX announcements • Economic performance • Anti-Corruption

Investors • Annual reports • Anti-corruption policy • Annual Report
• Quarterly reports and updates • Business Performance plans
• Annual General Meetings • Capital management strategy
• Sustainability Reports
28
REPORTING PRACTICE
Our first sustainability report is produced in accordance to the GRI standards “Core” option covering our Group’s performance from 1
October 2017 to 30 September 2018.
The GRI standards represent the global best practices for reporting on economic, environmental and social topics.
The report also incorporates primary components of report content as set out by the “Comply or Explain” requirements on sustainability
reporting by the Rules of Catalist.
GRI does not require external assurance and this year the Group has chosen not to obtain external assurance. Nevertheless, the
Group’s Sustainability Taskforce will subsequently review the option for external assurance of its sustainability report.
This report supplements the Group’s 2018 Annual Report and is available online at: www.kimlygroup.sg. Detailed section reference
with GRI Standards is found at GRI Standards Content Index section of this report.
The Group’s material topics are identified based on their impacts on our internal and external stakeholders, as outlined in the
Stakeholders Engagement section.
Material Topics Boundaries
ECONOMIC
Anti-corruption The Group
Indirect Economic Impacts
ENVIRONMENTAL
Materials
Energy
Emission
Water The Group
Effluents and Waste
Environmental Compliance
Supplier Environmental Assessment
SOCIAL
Employment
Occupational Health and Safety
Training and Education
Diversity and Equal Opportunity
The Group
Non-Discrimination
Child Labour
Local Community
Customer Health and Safety
KIMLY L I M I T ED
29
OUR CUSTOMERS
As a reputable food service provider, ensuring customer health In order to offer our customers healthier food choices, we went
and safety has been, and will always be our topmost priority. the extra mile to procure primarily from suppliers of Healthier
The Group is extremely stringent in our food safety standards Ingredients. Our main supplier for vegetable oil and rice
and practices, and we strictly comply with local food safety participates in Health Promotion Board’s Healthier Ingredient
regulations. We strive to have a zero-incident rate by always Development Scheme (“HDIS”) and is one of the suppliers of
prioritising cleanliness and food hygiene in our daily operations. Healthier Ingredients. The Group has also made brown rice as an
available option at our Mixed Vegetable Rice Stalls to better serve
Food Health and Safety customers who are on a wholegrain diet.
GRI 416-1, 416-2 Food Storage
Kimly has always believed in serving our customers healthy, safe Other than ensuring food quality and safety at the procurement
and tasty food choices. As a renowned and trustworthy food stage, the Group also implements comprehensive food storage
service provider, achieving and maintaining high quality and safety policies to keep our food products fresh and wholesome. Our
standards along our food value chain is essential in delivering central kitchen adopts a minimum inventory policy, and most of
quality prepared food that is safe for consumption. As such, the the semi-finished food products are prepared and sent to our
Group is judicious in our selection of suppliers and food vendors. food stalls daily via chilled delivery trucks to maximise freshness
of the food products.
Supplier Selection
Product quality and reliability of suppliers’ services such

as timeliness of delivery are extremely essential factors of
consideration in our supplier selection to assure the freshness,
quality and safety of our ingredients. Another supplier assessment
criteria is the total cost of ownership which includes unit price,
payment terms, rebates offered and other qualitative costs to
ensure the economic sustainability of our food value chain.
Procurement Process
Our procurement process covers the following areas:
1. Inventory Control
2. Storage of goods
3. Vendors feedback
4. Receiving of goods
5. Products purchased from approved suppliers’ list
6. Month-end inventory report
The Group only procures from approved suppliers that produce,

package, store and deliver products in accordance with good
manufacturing practices prevailing in their respective industries.
To ensure freshness of our food, we prioritise local suppliers with
at least an AVA “B” Grade. Suppliers are expected to provide goods
and services that consistently meet our required specifications,
especially for product quality and timeliness of product delivery.
30
In addition, ingredients at our food stalls are kept in chillers and necessary actions and strengthened the enforcement of proper
freezers and the temperatures are monitored daily. Expiry dates hygiene checks and practices in our food outlets to prevent
on the food and ingredient packaging have to be checked before recurrence of such incidences.
use. This ensures that the storage conditions are optimised to
maintain the freshness of the ingredients stored. Out of the 129 food stalls we operate, 24 have achieved the “A”
grading and 101 have achieved the “B” grading, 4 are new and
Food Preparation have yet to receive their grading reports.
In the stage of food preparation, Kimly adopts very stringent food

hygiene practices and guidelines. Daily inspections are conducted
on all food handlers to monitor their physical state and personal
hygiene. The food manufacturing division and areas such as food
delivery vehicles and food storage areas are also inspected daily
for cleanliness and neatness. Food handlers who return from
medical leave have to be checked by the supervisor to ensure
that all symptoms are cleared before they commence work. All
employees involved in food preparation are required to comply
with these practices. Employees who are involved in handling
food are required to attend and pass the Basic Food Hygiene
Course.
Food Stalls Management
Kimly ensures that all food stall owners are aware of the Customer Safety
importance of health and safety compliance before a stall is leased
out to them. This ensures consistent food safety awareness and GRI 416-1
practices across all levels of the Group.
Other than ensuring food safety, Kimly is committed to providing
In addition, each food stall is monitored by Assistant Executive a safe environment for our customers when they dine at our food
Chefs who ensure that the food products sent from our central outlets. We implement measures to ensure the protection of our
kitchen are properly handled according to the Standard Operating customers from safety hazards. Slippery floor warning signs are
Procedures (“SOPs”) implemented by the Executive Chefs. placed prominently at areas where floors are more susceptible to
water spillage, and when floors are mopped. We take extra care
We have assembled a quality and compliance assurance team in the selection of non-slip floor tiles in all our food outlets. There
(“QC Team”) comprising executive chefs of each food division. is also a dedicated team of general washers who are scheduled to
The QC Team is headed by the Head of Outlet Operations. The visit each of our food outlets at least once a month to scrub the
QC Team periodically conducts surprise visits at each food outlet floor and remove excessive dirt and oil.
and food stall. Photographs of non-compliance with regulations
are taken and notes are documented by our administration team. Daily checks are conducted to ensure that there are no pests
Immediate rectification actions are required to be taken and breeding in food storage/consumption/preparation areas or
these actions will be monitored, recorded and verified by Head contaminations that may encourage pest breeding.
of Outlet Operations before closing the case. This ensures food
vendors’ compliance with SOPs in areas of food storage and
supplier management.
Following NEA’s step up on checks on food establishments,

demerit points were issued to some outlets due to isolated
incidences of hygiene lapses in FY2018. We have since taken
KIMLY L I M I T ED
31
OUR PEOPLE kitchen staff every 6 months. Daily checks are conducted on
premises, and key areas such as ventilation, lighting, storage space
The Group ensures that all floor staff in the various coffee shops and kitchen space are inspected.
are equipped with the relevant skills when it comes to food
handling and occupational safety. Before they can be registered The Group provides workmen compensation insurance to cover
as qualified food handlers, all our employees working at our drink work-related injuries sustained by employees during their working
and food stalls are required to attend and pass the Basic Food hours. There is also a separate medical insurance for our foreign
Hygiene course. During the current financial year, there have employees to cover their non-work-related medical treatment
been no instances of safety lapses in the Group’s coffee shops outside working hours.
and outlets.
In keeping with our development of a sustainable food value chain
The Group also adopts policies and practices in accordance in the social dimension, the Group also requires our suppliers
with the Tripartite Guidelines in promoting fair and responsible to provide a safe and healthy working environment for their
employment practices. The Group abides by the principles of fair employees. Suppliers are encouraged to implement policies that
employment and adopts the recommended good practices: promote the general health of employees and prevent work-
related injuries and illness.
• Recruit and select employees on the basis of merit (such as
skills, experience or ability to perform the job), and regardless In FY2018, there were 6 minor workplace safety related incidents.
of age, race, gender, religion, marital status and family We endeavour to achieve zero workplace safety incidents in
responsibilities, or disability. FY2019.
• Treat employees fairly and with respect, and implement
progressive human resource management systems.
• Provide employees with equal opportunity for training and
development based on their strengths and needs to help
them achieve their full potential.
• Reward employees fairly based on their ability, performance,
contribution and experience.
• Abide by prevailing labour laws and adopt the Tripartite
Guidelines on Fair Employment Practices.
Occupational Health and Safety
GRI 403-2, 403-3
The Group has implemented detailed operating procedures to

ensure the safety and health of its employees.
The Group has provided guidelines to all employees on how to

handle various workplace incidents. In the event that an employee
suffers an injury, he/she will receive prompt medical attention
and the incident will be reported immediately to the Executive
Director. The head of the department will then raise a Corrective
Preventive Action Report which details the nature of the incident
and mitigating measures to prevent recurrence of such incidents
in the future.
In addition, to ensure that our staffs’ gear and attire are in good
condition, Kimly provides a replacement gear/attire for our central
32
Employee Diversity The Group rewards employees based on a series of attributes

that include performance, competence and experience. Staff
GRI 405-1, 405-2 remuneration is determined based on employees’ performance,
expected roles and responsibilities, and the Group’s financial
The Group is committed to ensuring that all staff are treated with performance. We conduct annual appraisals for all employees
dignity and respect regardless of rank. As at 30 September 2018, using a holistic set of criteria such as team spirit, interpersonal
Kimly had a total strength of 2,252 employees. Other than a well- skills and creativity.
balanced gender ratio, the Group has a diversified workforce
consisting of employees from different countries such as China, In order to develop the social aspect of our sustainable food value
Malaysia, Vietnam and Indonesia. We value the experience chain, we call for our suppliers to implement fair employment
and knowledge of our senior staff as well as the passion and practices and policies to protect employee rights. By complying
adaptability of the younger staff. with our Code, suppliers shall apply fair standards in their
treatment of all employees. This requires suppliers to not subject
any employee to discrimination based on race, national origin,
FY2018 ethnicity, religion, gender, age, marital status, sexual orientation,
2,252
disability, or any other reason. As a result, positive social impacts
will arise along our supply value chain, which brings us one step
Employees
closer to achieve a sustainable food value chain.
51+49
Employees by Gender
Employee Benefits
GRI 401-2, 401-3
All employees are entitled to a range of benefits that promote

49% 51% Male staff well-being and productivity, including medical insurance and
Female parental leave. The Group ensures that its staff are engaged and
rewarded with competitive benefits that are in line with industry
standards.
46+51+3
Employees by Age Kimly makes an effort to ensure that all staff remain engaged and
motivated in their jobs. Some staff retention strategies adopted
by Kimly include providing them with School Textbook subsidies
3% where $200 is given to each qualified employee annually to help
them defray their children’s education expenses. In addition, staff
51% 46% Below 20 receive monthly transport and meal allowance to help them better
30-50 manage the rising costs of living.
50 and above
Training and Education
GRI 404-1, 404-2, 404-3
Kimly treats all staff equally regardless of age, race or gender The Group recognises that our employees are our vital asset we
and gives them opportunities to develop their full potential. We provide them with continuous training and development to help
have a group-wide Non-Discrimination Policy, and any staff who them upgrade themselves. All staff will be given the necessary
feels unfairly discriminated against can freely inform our Human training to equip them with the right skillsets and knowledge
Resources Department. All correspondences will be kept in to effectively perform their jobs. In compliance with NEA
strictest confidence. requirements, we send all food handlers for food hygiene courses.
KIMLY L I M I T ED
33
PROTECTING THE ENVIRONMENT
Kimly endeavours to be a socially responsible corporation by adopting sustainable business practices. We regularly monitor
the environmental impacts of our various operations and have implemented measures and policies to minimise energy and water
consumption, and ensure proper effluents and waste management.
Energy and Emissions Management
GRI 302-1, 302-3, 302-4, 302-5, 305-2, 305-4, 305-5
The Group endeavours to maximise our energy conservation efforts to reduce our carbon footprint and develop the environmental
sustainability of our business. We aim to achieve significant results in energy conservation by optimising our equipment capacity.
Install LED lights

Florescent lights in coffee shops have been replaced with more energy-efficient LED Lights
Install Speed Control Inverters on Kitchen Exhaust Fans

Build a demand-controlled kitchen ventilation system which increases its energy efficiency during peak and
off-peak hours
Install Heat Pump in Central Kitchen’s Dishwasher

Using surrounding heat to heat water and emitting cool air as a by-product, the heat pump supplies warm water
to the dishwasher.
Install Gas-Fired Steam Generators

Four gas-fired steam generators were installed at the Dim Sum Central Kitchen. The water tanks are smaller than
those of conventional cabinet steamers, thus requiring less heat to generate steam and reducing our gas usage
by 25%-30%.
In FY2018, 14,400,000 kWh of energy was consumed, and the overall energy intensity stood at 574 kWh/m2. The Group will continue
to implement energy conservation measures and upgrade our equipment to further increase the energy-efficiency of our operations.
34
Water Conservation
GRI 303-1, 303-3
The Group endeavours to reduce the water footprint of our daily operations. As such, we have implemented changes such as installing
a dishwasher at all drink stalls to wash glasses and cups more efficiently. The dishwasher also comes with a filtration system and water
collection tank to further reduce water consumption.
In FY2018, our total water consumption stood at approximately 1,200,000 m3. We will continue to improve our water conservation
efforts and increase the water efficiency of our equipment in the future to reduce total water consumption.
Effluents and Waste Management
GRI 301-2, 306-1, 306-2
The Group segregates paper cartons and aluminium from the rest of the waste generated for recycling and strives to find new uses for
these materials. Empty aluminium drink cans are recycled and empty bottles are reused to store various sauces.
Recyclable delivery food grade boxes are used to deliver semi-finished food products from the central kitchen to our food stalls
throughout Singapore. These boxes can be used multiple times and thus can reduce the amount of packaging materials needed.
We encourage our food stalls to collect used cooking oils in separate containers for collection by licensed collectors, where the oil is
processed and used to make industrial soaps and detergents.
We endeavour to reduce the amount of waste and effluents produced from our daily operations through implementing recycling
measures and encouraging vendors and customers to use less plastic bags, containers and utensils.
Environmental Compliance
GRI 307-1, 308-1, 308-2
The Group strictly complies with local environmental laws and regulations. In addition, by adhering to our Code, suppliers are required
to comply strictly with local environmental laws and practices, such as those pertaining to waste disposal, air emissions and pollution.
Suppliers must strive to minimize the impact of their operations on the environment.
In FY2018, there were no reported cases of environmental non-compliance in the Group and among our suppliers.
KIMLY L I M I T ED
35
CONTRIBUTIONS TO OUR COMMUNITY
Kimly is committed to contributing to the local communities in areas where we operate. We have invested in technological advancements
and actively engaged with local communities to improve their lives and overall well-being.
Pioneering Innovation
GRI 203-2
Kimly has continuously leveraged on the use of technology in our daily operations, and we have increased investments in our IT
infrastructure and proprietary software to improve our operational efficiency and margins.
In FY2014, we implemented a $23,000 automatic conveyor belt system for the returning of plates and trays at the food court in
SIM University. We also partnered with Singapore Institute of Technology in FY2018 to develop our own proprietary applications to
facilitate cross-functional collaborations within the organisation. These investments are critical in building the foundation that will
improve the Group’s competitive position and support our long-term growth objectives.
We have extended our food products for online order and food delivery since FY2017 to provide convenience for our customers. Our
Dim Sum products can also be found on many delivery service platforms.
Furthermore, the Group is also looking at technology adoption to manage inventory levels at the food stalls. This is to enable better
matching of stock holdings at the food stall with anticipated demands and improved freshness of food products. We are also looking
to progressively implement cashless electronic payment systems at food outlets.
In FY2018, we opened the first “Productive” coffee shop within our Group. We have introduced an interactive tray return system where
our customers are encouraged to return their own trays after their meals. There is an on-screen display to thank our customers for
making the extra effort to return their tray and help lighten the workload of our cleaners, as a form of encouragement, the sensors on
the conveyor belt will trigger the system to print a QR coded receipt for the customer to enjoy a $0.10 off their next purchase at any
drink and food stalls. We are pleased to see a warm response from our customers to the tray return system. We have also introduced
various industry-first initiatives to help us improve the efficiency of our operation.
Creating Employment and Job Opportunities
GRI 203-2, 413-1
As we expand our operations in various localities, we endeavour to provide employment opportunities for the local communities we
operate in. We actively hire locals to take up the various job positions that come with the opening of a coffee shop. For our coffee shops
in Singapore, 63% of the employees are either Singaporeans or Permanent Residents. We are also a strong advocate of hiring matured
workers, with 51% of our workforce aged 50 and above.
We create business opportunities and a source of revenue for the third party food stall owners who operate in our coffee shops. Many
have been hawkers for most of their lives and were able to provide for their families and support their children’s’ education through
their business.
36
Preserving Our Hawker Culture Corporate Social Responsibility
GRI 413-1 GRI 413-1
Coffee shops are community dining halls, and hold a special place The Group ensures that our operational decisions are compliant
in the hearts of many Singaporeans. The Group constantly engages with local laws and regulations. If we are unsure of the legal
the grassroots organisations (“GROs”) to see how the coffee shops implications arising from a particular business decision, external
can be designed and operated such that residents can have their legal counsel will be consulted.
meals comfortably. For instance, the Group has displayed large
banners at coffee shops to remind diners to lower their speaking The Group has donated a purpose-built van for the transportation
volume after 10pm out of consideration for the well-being of the of the home-bound elderly residents of Jurong to attend their
occupants living upstairs. Furthermore, the Group also tries to medical appointments, which are often missed due to their lack of
refrain from rolling out beer promotions in coffee shops where mobility. This service is well received and we are glad that it has
there is a high volume of beer drinkers. Recently, the Group has helped improved the level of care and prognosis of elderly residents
also stopped broadcasting live football matches in the wee hours living with chronic illnesses as their medical appointments will not
of the morning so as to minimise disturbances to residents. be hindered due to mobility issues.
Barrier-free access has always been one of the key design Every Chinese New Year, the Group will invite 400 seniors to join
considerations when we plan our food outlet upgrading. The the Annual Chinese New Year Appreciation Lunch. Our employees
access between the food stall counters and the first row of tables and business associates typically volunteer as servers and the
are kept barrier-free, and tables and chairs are anchored onto chefs from the Seafood “Zi Char” Division will usually assist in the
the dining floor to prevent unintentional encroachment onto the menu preparation.
walkway.
As part of our CSR initiatives, our Group has partnered NTUC
Kimly believes in preserving the hawker culture. We groom Foodfare’s Rice Garden in their Business Partnership Program
aspiring new hawkers by sharing with them our knowledge and since 2015. We now manage a substantial number of Rice Garden
advice on how to manage a hawker business successfully, thereby food stalls in our chain of food outlets. Through this program, we
shortening the learning curve for them. We have worked with have been able to provide highly affordable nutritious meals to
many hawkers who have progressed to operate multiple food many Singaporeans, especially those from lower income families.
stalls all over Singapore and achieve a flourishing hawker business.
These successes will benefit Singapore’s hawker trade greatly and
help Singapore preserve its rich hawker heritage.
KIMLY L I M I T ED
37
Socioeconomic Compliance will comply with all applicable national, state or local laws and
regulations in the social and economic area, including but not
GRI 406-1, 408-1, 419-1 limited to those relating to labour and employment, immigration,
health and safety and the environment. Suppliers will comply
The Group strictly complies with all applicable national, state with all national laws on wages and working hours as well as
or local laws and regulations, including those related to labour international standards regarding child labour and minimum age.
and employment, child labour, non-discrimination, occupational
health and safety and the environment. In addition, as an In FY2018, there were no reported cases of socioeconomic non-
environmentally responsible organisation, Kimly does not procure compliance in the Group.
banned food items in Singapore or use ingredients made from
endangered species in our recipes.
Besides ensuring the socioeconomic compliance of the Group,

we also expect socioeconomic compliance along our food value
chain. By complying with the Code, suppliers undertake that they
38
SGX FIVE PRIMARY COMPONENTS INDEX
S/N Primary Component Section Reference
1 Material Topics Reporting Practice

Stakeholder Engagement
2 Policies, Practices and Performance Executive Chairman’s Message

Kimly’s Sustainability Story
3 Board Statement Governance and Statement of the Board
4 Targets Kimly’s Sustainability Story
5 Framework Reporting Practice
KIMLY L I M I T ED
39
GRI STANDARDS CONTENT INDEX
Page
GRI Standards Disclosure Content Section Reference Reference
102-1 Name of the organisation Kimly Limited –

102-2 Activities, brands, products, and services Corporate Profile 01
Our Businesses 02
102-3 Location of headquarters Notes to Financial Statements - Corporate 86
Information
102-4 Location of operations Our Network 03
102-5 Ownership and legal form Notes to Financial Statements – Corporate 86
Information
Investment in Subsidiaries 110
102-6 Markets served Our Network 03
102-7 Scale of the organisation Our Businesses 02
Financial Highlights 16
Financial Review 17
102-8 Information on employees and other workers Our People 31
102-9 Supply chain Food Health and Safety 29
102-14 Statement from senior decision-maker Executive Chairman’s Message 21
102-16 Values, principles, standards, and norms of behaviour Ethics and Integrity 25
102-17 Mechanisms for advice and concerns about ethics Ethics and Integrity 25
102-18 Governance structure Corporate Governance Report 42
102-40 List of stakeholder groups Stakeholder Engagement 27
102-42 Identifying and selecting stakeholders Stakeholder Engagement 27
102-43 Approach to stakeholder engagement Stakeholder Engagement 27
102-44 Key topics and concerns raised Stakeholder Engagement 27
102-46 Defining report content and topic boundaries Reporting Practice 28
201-1 Direct economic value generated and distributed Financial Highlights 16
203-2 Significant indirect economic impacts Pioneering Innovation, 35
Creating Employment and Job 36
Opportunities
205-1 Operations assessed for risks related to corruption Anti-corruption 25
205-2 Communication and training about anti-corruption Anti-corruption 25
policies and procedures
205-3 Confirmed incidents of corruption and actions taken Anti-corruption 25
301-2 Recycled input materials used Effluents and Waste Management 34
302-1 Energy consumption within the organization Energy and Emissions Management 33
302-3 Energy Intensity Energy and Emissions Management 33
302-4 Reduction of Energy Consumption Energy and Emissions Management 33
302-5 Reduction in energy requirements of products and Energy and Emissions Management 33
services
303-1 Water withdrawal by source Water Conservation 34
303-3 Water recycled and reused Water Conservation 34
305-2 Energy indirect (Scope 2) GHG emissions Energy and Emissions Management 33
305-4 GHG emissions intensity Energy and Emissions Management 33
305-5 Reduction of GHG emissions Energy and Emissions Management 33
40
GRI STANDARDS CONTENT INDEX
Page
GRI Standards Disclosure Content Section Reference Reference
306-1 Water discharge by quality and destination Effluents and Waste Management 34
306-2 Waste by type and disposal method Effluents and Waste Management 34
307-1 Non-Compliance with Environmental laws and Environmental Compliance 34
regulations
308-1 New Suppliers that were screened using environment Environmental Compliance 34
criteria
308-2 Negative environment impacts in supply chain and Environmental Compliance 34
action taken
401-2 Benefits provided to the full time employees that are Employee Benefits 32
not provided to temporary or part-time employees
401-3 Parental Leave Employee Benefits 32
403-2 Types of injury and rates of injury, occupational Occupational Health and Safety 31
diseases, lost days and absenteeism, and number of
work-related fatalities
403-3 Workers with high incidence or high risk of diseases Occupational Health and Safety 31
related to their occupation
404-1 Average hours of training per year per employee Training and Education 32
404-2 Programs for upgrading employee skills and transition Training and Education 32
assistance programs
404-3 Percentage of employees receiving regular performance Training and Education 32
and career development reviews
405-1 Diversity of governance bodies and employees Employee Diversity 32
405-2 Ratio of basic salary and remuneration of women to Employee Diversity 32
men
406-1 Incidents of discrimination and corrective actions taken Socioeconomic Compliance 37
408-1 Operations and suppliers at significant risk for incidents Socioeconomic Compliance 37
of child labor
413-1 Operations with local community engagement, impact Creating Employment and Job 36
assessments and development programs Opportunities
Preserving Our Hawker Culture 36
Corporate Social Responsibility 36
416-1 Assessment of the health and safety impacts of product Food Health and Safety 29
and service categories Customer Safety 30
416-2 Incidents of non-compliance concerning the health and Food Health and Safety 29
safety impacts of products and services
419-1 Non-compliance with laws and regulations in the social Socioeconomic Compliance 37
and economic areas
KIMLY L I M I T ED
CONTENTS
42 Corporate Governance Report
72 Directors' statement
75 Independent auditor's report
79 Consolidated Statement of
Comprehensive Income
80 Statements of Financial Position
81 Statements of Changes in Equity
84 Consolidated Statement of Cash

Flows
86 Notes to the Financial Statements
132 Statistics of Shareholdings
134 Notice of Annual General Meeting
Proxy Form
42
COR P O R ATE G OV ERN AN C E R EPORT
Kimly Limited (the “Company”) is committed to achieving and maintaining a high standard of corporate governance within the Company
and its subsidiaries (the “Group”) in complying with the Code of Corporate Governance 2012 (the “Code”) which forms part of the
continuing obligations of the Singapore Exchange Securities Trading Limited (“SGX-ST”) Listing Manual Section B: Rules of Catalist (the
“Rules of Catalist”).
The Group firmly believes that good corporate governance establishes and cultivates a legal and ethical environment that is essential to
the sustainability of the Group’s business and performance, which helps to preserve and enhance shareholders’ interests.
This report sets out the corporate governance framework and practices of the Company that were in place during FY2018 with reference
to the specific principles and guidelines of the Code including deviation from any guideline of the Code together with appropriate
explanation for such deviation as well as the disclosure guide developed by the SGX-ST in January 2015.
This report should be read in totality, instead of being read separately under each principle of the Code. The Board noted the revised
Code of Corporate Governance issued on 6 August 2018 (“Revised Code”), which is only effective from the Company’s financial year
commencing 1 October 2019, and will endeavor to comply with the Revised Code once it is effective.
(A) BOARD MATTERS
Board’s Conduct of its Affairs
Principle 1: Every company should be headed by an effective Board to lead and control the company. The Board is collectively
responsible for the long-term success of the company. The Board works with Management to achieve this objective and Management
remains accountable to the Board.
Role of the Board of Directors (the “Board”)
The Board is collectively responsible for the stewardship of the Group and is primarily responsible for the preservation and enhancement
of long-term value and returns for the shareholders. The Board oversees the management of the Group’s business and affairs, provides
overall strategy and direction, monitors the performance of the management.
In addition, the Board is directly responsible for decision making in respect of the following matters:
• approve the business strategies including significant acquisitions and disposals of subsidiaries or assets and liabilities;
• approve the annual budgets, major funding proposals, significant capital expenditures and investment and divestment proposals;
• approve the release of the Group’s quarterly and full year’s financial results and interested person transactions;
• oversee the processes for risk management, financial reporting and compliance and evaluate the adequacy of internal controls, as
may be recommended by the Audit Committee (“AC”);
• review the performance of the management, approve the nominees to the Board and the appointment of Key Management
Personnel (herein defined), as may be recommended by the Nominating Committee (“NC”);
• review and endorse the framework of remuneration for the Board and Key Management Personnel (herein defined), as may be
recommended by the Remuneration Committee (“RC”);
• review and endorse corporate policies in keeping with good corporate governance and business practices; and
• consider sustainability issues, e.g. environmental, social and governance factors, as part of the strategic formulation.
KIMLY L I M I T ED
43
COR P O R AT E G OV ERN AN C E R EPORT
To effectively discharge its responsibilities in the interest of the Group, the Board has established and delegated certain functions to its
various board committees namely, the AC, the NC and the RC (collectively the “Board Committees”). These Board Committees function
within their respective terms of reference (“TORs”) and operating procedures which are reviewed on a regular basis.
All Directors exercise due diligence and independent judgment in making decisions objectively in the best interest of the Group. All the
Board Committees are actively engaged and contribute in ensuring good corporate governance in the Company and within the Group.
The Board oversees the Group’s sustainability reporting framework by monitoring the environment, social and governance issues that
impact the Group’s sustainability of its business. The Group’s inaugural sustainability report for FY2018 can be found under pages 20
to 40 of the Annual Report.
Board Meetings and Meetings of Board Committees
The Board meets on a quarterly basis and where warranted by particular circumstances. Board meetings dates are normally fixed by the
Directors well in advance. The Company’s Constitution (the “Constitution”) allow for meetings to be conducted by way of telephone and
video conferencing if necessary.
The number of meetings held by the Board and Board Committees, and attendance during FY2018 are as follows:
Directors Board AC NC RC
Number Number Number Number Number Number Number Number
of of of of of of of of
meetings meetings meetings meetings meetings meetings meetings meetings
held attended held attended held attended held attended
Lim Hee Liat 5 5 4* 4* 1 1 1* 1*
Chia Cher Khiang 5 5 4* 4* 1* 1* 1* 1*
Wong Kok Yoong^ 5* 5* 4* 4* 1* 1* 1* 1*
Ter Kim Cheu 5 5 4 4 1 1 1 1
Wee Tian Chwee Jeffrey 5 5 4 4 1* 1* 1 1
Lim Teck Chai Danny 5 5 4 4 1 1 1 1
Note:
(*) Attended as invitees.
(^) Ms Wong Kok Yoong was appointed as Finance Director on 29 November 2018. Ms Wong attended the Board and Board Committees meetings as an invitee before
her appointment as Finance Director.
Board approval
The Group has in place, financial authorisation limits for matters such as operating and capital expenditure, credit lines, acquisitions and
disposal of assets and investments, which require the approval of the Board.
During the year, the Board has met to review and approve amongst other matters, the quarterly and full year results announcements
prior to their release on the SGXNET, the Group’s corporate strategies, major investments, review of the Group’s financial performance,
interested person transactions, recommendation of dividends, the approval of Directors’ Statement, etc.
Training of Directors
All Directors possess years of corporate experience and are familiar with their duties and responsibilities as Directors. Upon the
appointment of a Director, he will receive a formal letter setting out his key responsibilities and obligations as a member of the Board.
In addition, newly appointed Directors are briefed by the Executive Chairman, Executive Director, the Chief Financial Officer and/or
management of the Company on the business activities of the Group and its strategic directions, as well as his duties as a Director.
44
The Directors are also provided with briefings by professionals at Board meetings or at separate sessions on regulatory changes and
updates which have a material impact on the Company and the Directors’ obligations to the Company. Directors are also provided with
updates in relevant areas such as new laws and regulations, Directors’ duties and responsibilities, corporate governance, changes in
financial reporting standards and issues which have a direct impact on financial statements.
The Company welcomes Directors to seek explanations or clarifications from and/or request for informal discussions with the
management on any aspect of the Group’s operations or business issues.
The Company is responsible for arranging and funding the training for new and existing Directors. The scope of such continuous updates
also extends to include overview and developments in industry trends, governance practices and regulatory requirements pertaining to
the business. Where necessary, a first-time Director who has no prior experience as a Director of a listed company will be provided with
training in areas such as accounting, legal and industry-specific knowledge as appropriate, as well as required by the Rules of Catalist.
Existing Directors are encouraged to undergo continual professional development during the term of their appointment. Courses
attended by the Directors in FY2018 included Audit Committee Seminar 2018; Harnessing the full potential of Internal Audit; Corporate
Governance Code Briefing; ACRA-SGX-SID Audit Committee Seminar 2018; KPMG-Enterprise Risk Management: A Comprehensive
Approach To Managing Risk in a Volatile Business Environment; Innovation in the Marketplace: Emerging Trends and Insights; Ethical
Standards and Culture: The Role of the Board; and 5th Annual Sustainability Forum for City Developments Limited and Hong Leong
Group – Unlocking the Business Value of Sustainability.
Board Composition and Guidance
Principle 2: There should be a strong and independent element on the Board, which is able to exercise objective judgement on
corporate affairs independently, in particular, from Management and 10% shareholders. No individual or small group of individuals
should be allowed to dominate the Board’s decision making.
The Board comprises six (6) Directors, of whom three (3) are Executive Directors and three (3) are Non-Executive and Independent
Directors. The list of Directors is as follows:
Executive Directors
Lim Hee Liat (Executive Chairman)

Chia Cher Khiang (Executive Director)
Wong Kok Yoong (Finance Director) (Appointed on 29 November 2018)
Non-Executive Directors
Ter Kim Cheu (Lead Independent Director)

Wee Tian Chwee Jeffrey (Independent Director)
Lim Teck Chai Danny (Independent Director)
In view that the Executive Chairman of the Board is part of the management team and is not an independent director, independent
directors should make up half of the Board. As such, Guideline 2.2 of the Code is met as the Independent Directors comprised half of
the Board.
The size and composition of the Board are reviewed on an annual basis by the NC to ensure that the size of the Board is optimal to
facilitate effective deliberation and decision making. The NC is of the view that the current Board size of six (6) Directors, of whom
three (3) are Executive Directors and three (3) are Independent Directors, is appropriate and effective, taking into account the nature
and scope of the Group’s operations and the requirements of its business.
KIMLY L I M I T ED
45
Collectively, the current Board comprises Directors with diverse expertise and core competencies in areas such as accounting, legal,
business and management, finance and risk management. The Directors’ objective judgement on corporate affairs and their collective
experience and in-depth knowledge allow for the effective exchange of ideas and perspectives.
The Board continues to examine its size and, with a view to determining the impact of its number upon effectiveness, decides on what
it considers an appropriate size for itself.
Independence of Directors
The NC reviews the independence of each Director on an annual basis based on the Code’s definition of what constitutes an independent
director. The NC has assessed and confirmed the independence of the three (3) Independent Directors and is satisfied that there
is a strong and independent element on the Board, which enables the Board to exercise objective judgement on corporate matters
independently, in particular, from the management. No individual or small groups of individuals dominate the Board’s decision making
process. The Independent Directors have also confirmed their independence in accordance with the Code.
The NC also assessed and concluded that Mr Lim Teck Chai Danny, who is a partner of Rajah and Tann Singapore LLP (“Rajah & Tann”),
is independent notwithstanding the relationship between the Company and Rajah & Tann which provides corporate secretarial services
on a retainer basis and certain legal services to the Company. The total fees including ad-hoc services payable from the Company to
Rajah & Tann for FY2018 did not exceed the threshold limit of S$200,000 under Guideline 2.3(d) of the Code.
Upon taking into account the NC’s assessment, the Board considers all the Independent Directors of the Company to be independent in
character and judgment and that there are no relationships which are likely to affect or could appear to affect the Directors’ judgement.
The Code requires the independence of any Director who has served on the Board for more than nine years to be rigorously reviewed.
There are no Independent Directors who have served the Board for more than nine years.
The Independent Directors communicate regularly to discuss issues such as the Group’s financial performance, corporate governance
initiatives, Board processes, succession planning as well as leadership development and the remuneration of the Executive Directors.
Where necessary, the Company co-ordinates informal meetings for Independent Directors without the presence of the Management
to review matters such as Board effectiveness and Management’s performance.
The Board’s policy in identifying director nominees is primarily to have an appropriate mix of members with complementary skills, core
competencies and experience for Group, regardless of gender.
The current Board composition provides a diversity of skills, experience and knowledge to the Company as follows:
Number of Directors
Core Competencies
• Accounting or finance 3
• Legal or corporate governance 2
• Relevant industry knowledge or experience 2
The Non-Executive Directors are scheduled to meet regularly, and as warranted, in the absence of Key Management Personnel to
discuss concerns or matters such as the effectiveness of the management. For FY2018, the Non-Executive Directors have met in the
absence of the Management.
Chairman and Chief Executive Officer
Principle 3: There should be a clear division of responsibilities between the leadership of the Board and the executives responsible
for managing the company’s business. No one individual should represent a considerable concentration of power.
46
The Chairman of the Board and the Chief Executive Officer (or equivalent) are separate individuals.
The Chairman of the Board is Mr Lim Hee Liat. As the Executive Chairman, Mr Lim is responsible, among others, for the overall business
strategy and development of the Group, the exercise of control over the quantity and quality aspects, as well as the timely flow of
information between the Management and the Board. Mr Lim also sets the agenda for Board meetings and is actively involved in
ensuring and promoting compliance with the Group’s corporate governance guidelines.
The Chief Executive Officer (or equivalent) being the Executive Director, Mr Chia Cher Khiang, who with the Management are
responsible for the operational, commercial and financial management as well as charting the business development and expansion of
the Group.
There is also a balance of power and authority in view that the Board Committees are chaired by the Independent Directors. The
Board has appointed Mr Ter Kim Cheu as the Lead Independent Director to be available to shareholders where they have concerns,
and to coordinate any meetings among the Independent Directors. The Independent Directors have met without the presence of the
Management or Executive Directors for informal discussion for FY2018.
The Board believes that there are adequate safeguards in place to ensure that no one individual represents a considerable concentration
of power. The separation of roles and clear division of responsibilities between the Mr Lim Hee Liat and the Mr Chia Cher Khiang ensures
a balance of power and increased accountability.
Board Membership
Principle 4: There should be a formal and transparent process for the appointment and re-appointment of directors to the Board.
The NC comprises three (3) Directors, two (2) of whom, including the NC Chairman, are Independent Directors. The NC Chairman is also
the Lead Independent Director of the Company:
Ter Kim Cheu (Chairman)

Lim Teck Chai Danny
Lim Hee Liat
The primary functions of the NC in accordance with its TORs are as follows, amongst others:
• To make recommendations to the Board on relevant matters relating to (i) the review of board succession plans for Directors, in
particular, the Executive Chairman and the Chief Executive Officer (or equivalent), (ii) the development of a process of evaluation
of the performance of the Board, the Board committees and Directors, (iii) the review of training and professional development
programs for the Board and (iv) the appointment and re-appointment of Directors (including alternate Directors, if applicable)
(including appointments and re-appointments to Board committees).
• To review and determine annually, and as and when circumstances require, if a Director is independent, in accordance with the
Code, and any other salient factors.
• To review the composition of the Board annually to ensure that the Board and the Board committees comprise Directors who
as a group provide an appropriate balance and diversity of skills, expertise, gender and knowledge of the Company and provide
core competencies such as accounting or finance, business or management experience, industry knowledge, strategic planning
experience and customer-based experience and knowledge.
• Where a Director has multiple board representations, to decide whether the Director is able to and has been adequately carrying
out his duties as a Director, taking into consideration, inter alia, the Director’s number of listed company board representation and
other principal commitments.
KIMLY L I M I T ED
47
• To make recommendations to the Board on the development of a process for evaluation and performance of the Board, its Board
committees and Directors. In this regard, the NC will decide how the Board’s performance is to be evaluated and propose objective
performance criteria which address how the Board has enhanced long-term shareholder value.
• To implement a process for assessing the effectiveness of the Board as a whole and the Board committees and for assessing
the contribution of the Chairman of the Board and each individual Director to the effectiveness of the Board and each Board
committee on which he sits.
• To review and approve any employment of all managerial staff and employees who are related to any of the Directors, substantial
shareholders or the Executive Directors of the Company and the proposed terms of their employment.
• In respect of re-nominations of Directors who are retiring by rotation for re-election by shareholders, to have regard to the
Director’s contribution and performance (e.g. his attendance, preparedness, participation and candour) including, if applicable, as
an Independent Director.
• If necessary, to set up internal guidelines to address the competing time commitments that is faced when Directors serve on
multiple boards.
• To assume such other duties (if any) that may be assigned to a nominating committee of a Singapore-listed company under the
Code.
• To review the statements made in the annual report relating to the Company’s policies on selection, nomination and evaluation of
Board members in its annual report with a view to achieving clear disclosure of the same.
Process for re-appointment of Directors
As a matter of corporate governance, the Directors submit themselves for re-nomination and re-election at regular intervals. Under
the Constitution, each Director shall retire from office at least once every three (3) years and a retiring Director shall be eligible for re-
election.
In assessing whether the Director should be recommended for re-appointment, the NC would assess the performance of the Director
in accordance with the performance criteria set by the Board; review the annual evaluations done by the Board, Board Committees and
individual Directors; and assess the current needs of the Board.
Subject to the NC’s satisfactory assessment, the NC would recommend the proposed re-appointment of the Director to the Board for
its consideration and approval.
Each member of the NC abstains from making any recommendations and/or participating in any deliberation of the NC and from voting
on any resolution, in respect of the assessment of his re-nomination as a Director of the Company.
After assessing the Directors’ contribution and performance, the NC has recommended Mr Lim Hee Liat and Mr Lim Teck Chai Danny
who are retiring by rotation under Regulation 112 of the Constitution at the Company’s forthcoming AGM, to be re-elected as Directors
of the Company. The NC has also recommended Ms Wong Kok Yoong who is retiring under Regulation 116 of the Constitution at the
Company’s forthcoming AGM, to be re-elected as a Director of the Company. Mr Lim Hee Liat is the controlling shareholder of the
Company. Save as disclosed, Mr Lim Teck Chai Danny and Ms Wong Kok Yoong does not have any relationships including immediate
family relationships with the other Directors, the Company or it's 10% Shareholders.
48
If re-elected as a Director of the Company:
• Mr Lim Hee Liat will remain as the Executive Chairman of the Company;
• Mr Lim Teck Chai Danny will remain as an Independent Director of the Company, the Chairman of the RC and a member of the
AC and the NC; and
• Ms Wong Kok Yoong will remain as the Finance Director of the Company.
Mr Lim Teck Chai Danny will be considered independent for the purposes of Rule 704(7) of the Rules of Catalist.
The requirements under Rule 720(5) of the Rules of Catalist are stipulated in the table below:
Name of person Lim Hee Liat Lim Teck Chai Danny Wong Kok Yoong
Date of Appointment 23 May 2016 15 February 2017 29 November 2018
Date of last re-appointment N.A 23 January 2018 N.A

(if applicable)
Age 52 45 42
Country of principal residence Singapore Singapore Singapore
The Board’s comments on this After assessing Mr Lim After assessing Mr Lim Teck The Board having considered
appointment Hee Liat’s contribution and Chai Danny's contribution the Nominating Committee’s
(including rationale, selection performance, the NC has and performance, the NC recommendations, the
criteria, and the search and recommended that he be has recommended that he be qualifications and working
nomination process) re-elected as Director of the re-elected as Director of the experience of Ms Wong, is
Company. Company. of the view that she has the
requisite experience and
capabilities as an Executive
Director of the Company.
Whether appointment is Executive. Overall business N.A Executive. To facilitate Board’s

executive, and if so, the area of strategy and development of duties
responsibility the Group
Job Title Executive Chairman Independent Director Finance Director

(e.g. Lead ID, AC Chairman, AC
Member etc.)
Professional qualifications Nil Bachelor of Law (Honours) A member of The Malaysian

degree from the National Institute of Certified Public
University of Singapore and Accountants
a Master of Science (Applied
Finance) degree from the
Nanyang Technological
University
KIMLY L I M I T ED
49
Working experience and More than 25 years of Joined Rajah & Tann June 2016 to present –
occupation(s) during the past experience in the coffee shop Singapore LLP upon Chief Financial Officer,
10 years and F&B industry graduation in May 1998 and Kimly Limited
has since been practicing
December 2015 to
and advising on all aspects
May 2016 –
of corporate legal advisory
Regional Financial Controller,
and transactional work, both
Connell Bros. Holding
locally and regionally. He has
(Singapore) Pte. Ltd.
experience in acquisitions,
investments, takeovers, November 2013 to
initial public offerings and November 2015 –
restructurings, and his Regional Head, Financial
clients include multinational Planning & Analysis, Maybank
corporations, small medium Investment Banking Group
enterprises, private equity
September 2005 to
and institutional investors,
October 2013 –
Singapore and foreign
Senior Manager, Ernst &
listed companies, financial
Young LLP (Singapore)
institutions and others
Shareholding interest in the listed Please refer to Directors’ Nil Nil

issuer and its subsidiaries Statement, Directors’ interests
in shares or debentures on pg
73 of the annual report
Any relationship (including Nil Nil Nil

immediate family relationships)
with any existing director, existing
executive officer, the issuer and/
or substantial shareholder of
the listed issuer or of any of its
principal subsidiaries
Conflict of interest (including any Nil Nil Nil

competing business)
Undertaking (in the format set Yes Yes Yes

out in Appendix 7H) under Rule
720(1) has been submitted to the
listed issuer (Yes/No)
50
Other Principal Commitments* Nil TEE Land Limited – Appointed Nil

Including Directorships# as Independent Director on
15 May 2013
* “ Principal Commitments” has
the same meaning as defined in
UG Healthcare Corporation
the Code.
Ltd – Appointed as
#
These fields are not applicable Independent Director on 21
for announcements of August 2014
appointments pursuant to
Listing Rule 704(8) Past (for Stamford Land Corporation
the last 5 years) Limited – Appointed as
Independent Director on 31
May 2017
Choo Chiang Holdings Ltd.

– Appointed as Independent
Director on 20 August 2018
Domestic Employees Welfare

Fund (DEWF) – Appointed
as trustee on 23 September
2018
Disclose the following matters

concerning an appointment
of director, chief executive
officer, chief financial officer,
chief operating officer, general
manager or other officer of
equivalent rank. If the answer to
any question is "yes", full details
must be given.
(a) Whether at any time No No No

during the last 10 years,
an application or a petition
under any bankruptcy law
of any jurisdiction was filed
against him or against a
partnership of which he was
a partner at the time when he
was a partner or at any time
within 2 years from the date
he ceased to be a partner?
KIMLY L I M I T ED
51
(b) Whether at any time No No No

an application or a petition
under any law of any
jurisdiction was filed against
an entity (not being a
partnership) of which he was
a director or an equivalent
person or a key executive,
at the time when he was a
director or an equivalent
person or a key executive
of that entity or at any time
within 2 years from the date
he ceased to be a director or
an equivalent person or a key
executive of that entity, for
the winding up or dissolution
of that entity or, where that
entity is the trustee of a
business trust, that business
trust, on the ground of
insolvency?
(c) Whether there is any No No No

unsatisfied judgment against
him?
(d) Whether he has ever been No No No

convicted of any offence,
in Singapore or elsewhere,
involving fraud or dishonesty
which is punishable with
imprisonment, or has been
the subject of any criminal
proceedings (including any
pending criminal proceedings
of which he is aware) for such
purpose?
(e) Whether he has ever been No No No

convicted of any offence,
in Singapore or elsewhere,
involving a breach of any law
or regulatory requirement
that relates to the securities
or futures industry in
Singapore or elsewhere,
or has been the subject of
any criminal proceedings
(including any pending
criminal proceedings of
which he is aware) for such
breach?
52
(f) Whether at any time No No No

judgment has been entered
against him in any civil
proceedings in Singapore or
elsewhere involving a breach
of any law or regulatory
requirement that relates
to the securities or futures
industry in Singapore or
elsewhere, or a finding of
fraud, misrepresentation
or dishonesty on his part,
or he has been the subject
of any civil proceedings
(including any pending civil
proceedings of which he is
aware) involving an allegation
of fraud, misrepresentation
or dishonesty on his part?
(g) Whether he has ever been No No No

convicted in Singapore or
elsewhere of any offence
in connection with the
formation or management of
any entity or business trust?
(h) Whether he has ever been No No No

disqualified from acting as
a director or an equivalent
person of any entity
(including the trustee of
a business trust), or from
taking part directly or
indirectly in the management
of any entity or business
trust?
(i) Whether he has ever No No No

been the subject of any
order, judgment or ruling
of any court, tribunal
or governmental body,
permanently or temporarily
enjoining him from engaging
in any type of business
practice or activity?
KIMLY L I M I T ED
53
(j) Whether he has ever, to his

knowledge, been concerned
with the management or
conduct, in Singapore or
elsewhere, of the affairs of:-
(i) any corporation which Save relating to ongoing Save relating to ongoing Save relating to ongoing
has been investigated for investigations involving Kimly investigations involving Kimly investigations involving Kimly
a breach of any law or Limited as announced, no. Limited as announced, no. Limited as announced, no.
regulatory requirement
governing corporations
in Singapore or
elsewhere; or
(ii) any entity (not being a No No No

corporation) which has
been investigated for
a breach of any law or
governing such
entities in Singapore or
elsewhere; or
(iii) any business trust which No No No

has been investigated for
a breach of any law or
governing business
trusts in Singapore or
elsewhere; or
(iv) any entity or business No No No

trust which has been
investigated for a breach
of any law or regulatory
requirement that
relates to the securities
or futures industry in
Singapore or elsewhere
in connection with
any matter occurring
or arising during that
period when he was
so concerned with the
entity or business trust?
54
(k) Whether he has been the As disclosed in the Company’s No No

subject of any current or past announcement dated
investigation or disciplinary 29 November 2018, the
proceedings, or has been Company has received a
reprimanded or issued any letter dated 22 November
warning, by the Monetary 2018 from the Commercial
Authority of Singapore or any Affairs Department (“CAD”)
other regulatory authority, and the Monetary Authority
exchange, professional body of Singapore (collectively
or government agency, “Authorities”) requesting
whether in Singapore or for the provision of certain
elsewhere? documents and equipment,
among others, IT equipment
used by Mr Lim Hee Liat.
Mr Lim Hee Liat has also

received similar request from
the Authorities in connection
with an investigation into
a possible offence under
Section 199 of the SFA, and
has been interviewed by
and surrendered his travel
document to CAD.
On 4 December 2018, the

Company announced that
Mr Lim Hee Liat attended at
CAD and was released on
bail after being arrested for
having been concerned, or
reasonably suspected of being
involved in, an offence under
Section 199 of the Securities
and Futures Act. Mr Lim Hee
Liat continues to assist in
investigations, and no formal
charges have been made
against him by the Authorities.
KIMLY L I M I T ED
55
Disclosure applicable to the appointment of Director only
Any prior experience as a This relates to re-appointment This relates to re-appointment This relates to re-appointment
director of an issuer listed on the of Director. of Director. of Director.
Exchange? (Yes/No)
If yes, please provide details of N.A N.A N.A

prior experience.
If no, please state if the director N.A N.A Ms Wong Kok Yoong will
has attended or will be attending undertake future training in
training on the roles and due course.
responsibilities of a director of a
listed issuer as prescribed by the
Exchange.
Please provide details of relevant N.A N.A N.A

experience and the nominating
committee's reasons for not
requiring the director to undergo
training as prescribed by the
Exchange (if applicable).
56
Directors’ time commitments and multiple directorships
The NC has not set a limit to the number of directorships that a Director may hold. The NC is of the view that the effectiveness of
each of the Directors is best assessed by a qualitative assessment of the Director’s contributions, after taking into account his other
listed company board directorships and other principal commitments. The NC also believes that it is for each Director to assess his own
capacity and ability to undertake other obligations or commitments together with serving on the Board effectively. The NC does not
wish to omit from consideration outstanding individuals who, despite the demands on their time, have the capacity to participate and
contribute as members of the Board.
The considerations in assessing the capacity of the Directors include expected and/or competing time commitments of the Directors;
competencies of Directors; size and composition of the Board; capacity, complexity and expectations of the other listed directorships
and principle commitments held and nature and scope of the Group’s operations and size.
The NC monitors and determines annually whether Directors who have multiple board representations and other principal commitments
are able to give sufficient time and attention to the affairs of the Company and adequately carry out his duties as a Director of the
Company. The NC is satisfied that in FY2018, sufficient time and attention are being given by the Directors to the affairs of the
Company and the Group, despite some of the Directors having multiple board representations.
The NC will assess periodically to ensure that despite the multiple board representations and other principal commitments, the
Directors can continue to meet the demands of the Group and are able to discharge their duties adequately.
Selection and appointment of new Directors
The NC, in consultation with the Board, would identify the current needs of the Board in terms of skill/experience/knowledge to
complement and strengthen the Board and increase its diversity. In its search and nomination process for new Directors, the NC could
consider, personal contacts, candidates proposed by the Directors, key management personnel or substantial shareholders or engaging
external search consultants, to shortlist any potential suitable candidates. Some of the selection criteria could include integrity, diversity,
ability to commit time and attention to the Board. Subsequent to the interview of the shortlisted candidates, NC would recommend the
selected candidate to the Board for consideration and approval.
The Board has not appointed any alternate directors, as recommended under Guideline 4.5 of the Code.
KIMLY L I M I T ED
Key information on the Directors is set out below:
Directorships or
Present chairmanships
directorships or held over the
Date of first Date of last chairmanships preceding three Other Due for
appointment as re-appointment in other listed years in other listed principal re-appointment
Name of Directors Position a Director as a Director companies companies commitments at the AGM
Lim Hee Liat Executive 23 May 2016 N.A None None Patron of Taman Retirement
Chairman Jurong Community (Regulation 112)
Club Management
Committee
Chia Cher Khiang Executive 3 February 2017 23 January 2018 None None Member of the N.A.
Director School Advisory
Committee
of Temasek
Secondary School
Wong Kok Yoong Finance Director 29 November N.A None None None Retirement
2018 (Regulation 116)
Ter Kim Cheu Lead 15 February 2017 23 January 2018 Hong Leong Finance Hong Leong Finance None N.A.
Independent Limited Limited
Director
Wee Tian Chwee Jeffrey Independent 15 February 2017 23 January 2018 None None None N.A.
Director
Lim Teck Chai Danny Independent 15 February 2017 23 January 2018 TEE Land Limited China Star Food Partner of Rajah Retirement
Director Group Limited & Tann Singapore (Regulation 112)
UG Healthcare
LLP
Corporation Limited Sincap Group Limited
Stamford Land Trans-Cab Holdings
Corporation Limited Ltd
Choo Chiang Deskera Holdings Ltd
Holdings Ltd.

Note
Details of Directors’ credentials including working experience, academic and professional qualifications, shareholding in the Company and its related corporations and directorships can be found in the Board of Directors,
Corporate Governance Report and the Directors’ Statement sections of the annual report.
57
58
Board Performance
Principle 5: There should be a formal annual assessment of the effectiveness of the Board as a whole and its board committees and
the contribution by each director to the effectiveness of the Board.
The NC reviews the Board’s performance evaluation criteria and proposes to the Board a set of objective performance criteria that
allows for comparison with industry peers and assess how long-term shareholder value is enhanced. Based on the recommendations
of the NC, the Board has established processes for assessing the effectiveness of the Board as a whole, its Board Committees and the
contribution by each individual Director to the effectiveness of the Board.
The performance criteria set to evaluate the effectiveness of the Board as a whole, Board Committees and individual Directors includes
(i) size and composition; (ii) access to information; (iii) risk management; (iv) commitment of time; and (v) knowledge and abilities. The
NC did not propose any changes to the performance criteria for FY2018 as compared to the previous financial year as the economic
climate, Board composition, the Group’s principal business activities remained the same since FY2017.
In the course of the year, the NC had conducted the assessment via a questionnaire which is completed by each Director for the
evaluation of the Board and Board Committees. Each Director also completed a self-assessment form to assess each Director’s
contributions to the Board’s effectiveness. The Company Secretary compiles Directors’ responses into a consolidated summary report
which was discussed at the NC meeting with a view to implementing certain recommendations to further enhance the effectiveness
of the Board.
No external facilitator was used in the evaluation process.
The Executive Chairman would act on the results of the performance evaluation, and, in consultation with the NC, propose where
appropriate, new members to be appointed to the Board and/or seek the resignation of Directors.
All NC members have abstained from the voting or review process of any matters in connection with the assessment of his performance.
The Board as a whole, its Board Committees and each individual Director has met its performance objectives.
Access to Information
Principle 6: In order to fulfil their responsibilities, directors should be provided with complete, adequate and timely information
prior to board meetings and on an on-going basis so as to enable them to make informed decisions to discharge their duties and
responsibilities.
To assist the Board in fulfilling its responsibilities, the Management provides the Board with Board papers; updates to the Group’s
operations and the markets in which the Group operates in; budgets; consolidated management accounts (with financial ratio analysis);
internal auditors and external auditors’ reports. All Board and Board Committee papers are distributed to Directors in advance to allow
suffcient time for Directors to prepare for the meetings. All Directors have separate and independent access to the Management,
including the Company Secretary, at all times.
The Company Secretary and/or his representative attends all scheduled meetings of the Company and prepares the minutes of meetings.
He is responsible for, among other things, ensuring that Board procedures are observed and that applicable rules and regulations are
complied with.
The appointment and the removal of the Company Secretary are subject to the Board’s approval.
Changes to regulations are closely monitored by the management and where such changes have an important bearing on the Company
or the Directors’ disclosure obligations, the Directors are briefed during Board meetings.
KIMLY L I M I T ED
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The Directors and the Chairmen of the respective Board Committees, whether as a group or individually, are able to seek independent
professional advice as and when necessary in furtherance of their duties, at the Company’s expense. The appointment of such
professional advisor is subject to approval by the Board.
(B) REMUNERATION MATTERS
Procedures for Developing Remuneration Policies
Principle 7: There should be a formal and transparent procedure for developing policy on executive remuneration and for fixing the
remuneration packages of individual directors. No director should be involved in deciding his own remuneration.
The RC comprises entirely Independent Directors:
Lim Teck Chai Danny (Chairman)

Wee Tian Chwee Jeffrey
Ter Kim Cheu (Appointed as a member on 23 January 2018)
The members of the RC are equipped with many years of corporate experience and are knowledgeable in the field of executive
compensation. The RC has access to expert professional advice on remuneration matters as and when necessary.
The responsibilities of the RC in accordance with its TORs include the following, amongst others:
• To review and recommend to the Board, in consultation with the Chairman of the Board, for the endorsement of the entire Board,
a comprehensive remuneration policy framework and guidelines for remuneration of the Directors and such other persons having
authority and responsibility for planning, directing and controlling the activities of the Company (“Key Management Personnel”);
• To review and recommend to the Board, for the endorsement of the entire Board, specific remuneration packages for each Director
and Key Management Personnel;
• To approve performance targets for assessing the performance of each Key Management Personnel and recommend such targets
as well as employee specific remuneration packages for each of such Key Management Personnel, for endorsement by the Board;
• To periodically consider and review remuneration packages in order to maintain attractiveness, retain and motivate Directors to
provide good stewardship of the Company and Key Management Personnel to successfully manage the Company, and to align the
level and structure of remuneration with the long-term interests and risk policies of the Company;
• To review the specific remuneration packages of all managerial staff and employees who are related to any of the Directors or
substantial shareholders to ensure that their remuneration packages are in line with the Company’s staff remuneration guidelines
and commensurate with their respective job scopes and level of responsibilities and to review and approve any bonuses, pay
increases and/or promotions for these managerial staff and employees;
• To cover all aspects of remuneration, including but not limited to directors’ fees, salaries, allowances, bonuses, options and
benefits-in-kind (including the review and approval of the design of all share option plans, performance share plans and/or other
equity based plans and benefits in kind);
• To review the Company’s obligations arising in the event of termination of the Executive Directors’ or Key Management Personnel’s
contracts of service, to ensure that such contracts of service contain fair and reasonable termination clauses which are not overly
generous. The RC should aim to be fair and avoid rewarding poor performance;
60
• In setting remuneration packages, the RC shall take into consideration the following and such other factors as may be specified in
the Code from time to time:
(i) The general principle is that the level and structure of remuneration should be aligned with the long- term interest and
risk policies of the Company, and should be appropriate to attract, retain and motivate (a) the Directors to provide good
stewardship of the Company, and (b) Key Management Personnel to successfully manage the Company. However, the
Company should avoid paying more than is necessary for this purpose;
(ii) A significant and appropriate proportion of Executive Directors’ and Key Management Personnel’s remuneration should be
structured so as to link rewards to corporate and individual performance.
(iii) Such performance-related remuneration should be aligned with the interests of shareholders and promote the long-term
success of the Company. It should take account of the risk policies of the Company, be symmetric with risk outcomes and be
sensitive to the time horizon of risks. There should be appropriate and meaningful measures for the purpose of assessing
Executive Directors’ and Key Management Personnel’s performance;
(iv) Long-term incentive schemes, including share schemes, are generally encouraged for Executive Directors and Key
Management Personnel. The RC should review whether Executive Directors and Key Management Personnel should be
eligible for benefits under long-term incentive schemes. The costs and benefits of long-term incentive schemes should be
carefully evaluated. In normal circumstances, offers of shares or grants of options or other forms of deferred remuneration
should vest over a period of time. The use of vesting schedules, whereby only a portion of the benefits can be exercised each
year, is also strongly encouraged. Executive Directors and Key Management Personnel should be encouraged to hold their
shares beyond the vesting period, subject to the need to finance any costs of acquisition and associated tax liability;
(v) The remuneration of Non-Executive Directors should be appropriate to the level of contribution, taking into account
factors such as effort and time spent, and responsibilities of the Directors. Non- Executive Directors should not be over-
compensated to the extent that their independence may be compromised;
(vi) The Company is encouraged to consider the use of contractual provisions to allow the Company to reclaim incentive
components of remuneration from Executive Directors and Key Management Personnel in exceptional circumstances of
misstatement of financial results, or of misconduct resulting in financial loss to the Company; and
(vii) To assume such other duties (if any) that may be assigned to a remuneration committee of a Singapore-listed company under
the Code.
The RC reviews the remuneration framework which covers all aspects of remuneration including but not limited to Directors’ fees,
salaries, allowances, bonuses, share-based incentives and awards, and benefits-in-kind. The RC also reviews the Group’s obligations
arising in the event of termination of the Executive Directors’ and Key Management Personnel’s contracts of service, to ensure that such
contracts of service contain fair and reasonable termination clauses which are not overly generous.
No external remuneration consultant was engaged to advise on remuneration matters for FY2018. No Director is involved in determining
his own remuneration.
Level and Mix of Remuneration
Principle 8: The level and structure of remuneration should be aligned with the long-term interest and risk policies of the company,
and should be appropriate to attract, retain and motivate (a) the directors to provide good stewardship of the company, and (b) key
management personnel to successfully manage the company. However, companies should avoid paying more than is necessary for
this purpose.
KIMLY L I M I T ED
61
In determining remuneration packages, the RC takes into consideration the prevailing economic situation, the pay and employment
conditions within the industry and in comparable companies. The Company submits the quantum of Directors’ fees of each year to the
shareholders for approval at each AGM.
Independent Directors have no service contracts. The Executive Directors have service contracts and they do not receive Directors’
fees. In setting the remuneration packages of the Executive Directors, the Company takes into account the performance of the Group
and that of the Executive Directors.
The Company currently does not have any contractual provisions which allow it to reclaim incentives from the Executive Directors and
key management personnel in certain circumstances. The Board is of the view that as the Group pays performance bonuses based on
the actual performance of the Group and/or Company (and not on forward-looking results) as well as the actual results of its Executive
Directors and Key Management Personnel, “claw-back” provisions in the service agreements may not be relevant or appropriate. The
Executive Directors owe a fiduciary duty to the Company. The Company avails itself to remedies against the Executive Directors in the
event of such breach of fiduciary duties.
The Company adopted the following share incentive schemes on 15 February 2017 to provide eligible participants (including Executive
Directors and Independent Directors) with an opportunity to participate in the equity of the Company and to motivate them towards
better performance through increased dedication and loyalty:
1. An employee share options scheme known as the “Kimly Share Option Scheme” (“ESOS”).
2. A share scheme known as the “Kimly Performance Share Plan” (the “PSP”);

collectively, the “Kimly Share Incentive Schemes”.
The Kimly Share Incentive Schemes are administered by the RC. As at to-date, no options or awards have been granted under the ESOS
or PSP respectively.
Kimly Share Incentive Schemes
Under the rules of the ESOS and PSP, Directors and full-time Group employees who have attained the age of 21 years and hold such rank
as may be designated by RC from time to time are eligible to participate in the Kimly Share Incentive Schemes, provided that none shall
be an undischarged bankrupt or have entered into a composition with his creditor.
Controlling shareholders or associate of such controlling shareholders who meet the criteria above are eligible to participate in the
Kimly Share Incentive Schemes if their participation and the terms of Options or Awards to be granted are approved by independent
shareholders in separate resolutions for each such person and for each such Option or Award.
ESOS
The aggregate number of shares over which RC may grant options under the ESOS, when aggregated with the number of shares over
which options or awards are granted under any other share option schemes or share plan of the Company, shall not exceed 15% of
the total number of all issued shares (excluding subsidiary holdings as defined in the Rules of Catalist and treasury shares) from time
to time. In relation to controlling shareholders or associate of controlling shareholders, the aggregate number of shares which may be
granted to such persons shall not exceed 25% of the total number of shares available under the ESOS and the aggregate number of
shares which may be granted to any individual controlling shareholders or associate of controlling shareholder shall not exceed 10% of
the total number of shares available under the ESOS.
62
The options that are granted under the ESOS may have exercise prices that are, at the RC’s discretion, set at a price (the “Market
Price”) equal to the average of the last dealt prices for the shares on the Official List of Catalist over the five consecutive Market Days
immediately preceding the relevant date of grant of the relevant option; or at a discount to the Market Price (subject to a maximum
discount of 20%). Options which are fixed at the Market Price may be exercised after the first anniversary of the date of grant of that
option while options exercisable at a discount to the Market Price may only be exercised after the second anniversary from the date of
grant of the option. Options granted under the ESOS will expire upon the tenth anniversary of the date of grant of that option.
The ESOS shall continue in operation for a maximum duration of 10 years and may be continued for any further period thereafter with
the approval of the shareholders by ordinary resolution in general meeting and of any relevant authorities which may then be required.
PSP
The aggregate number of shares which may be issued or transferred pursuant to Awards granted under the PSP, when aggregated with
the aggregate number of shares over which options are granted under any other share option schemes of the Company, shall not exceed
15% of the total number of issued shares (excluding subsidiary holdings as defined in the Rules of Catalist and treasury shares) from
time to time.
While the RC has the discretion to grant Awards at any time in the year, it is currently anticipated that Awards would in general be made
once a year. Subject to the applicable laws, the Company will deliver shares to participants upon vesting of their Awards by way of either
(i) an issue of new shares; or (ii) a transfer of shares then held by the Company in treasury. In determining whether to issue new shares to
participants upon vesting of their Awards, the Company will take into account factors such as, but not limited to, the number of shares
to be delivered, the prevailing market price of the shares and the cost to the Company of issuing new shares or delivering existing shares.
The PSP shall continue in force at the discretion of the RC, subject to a maximum period of 10 years commencing on the date on which
the PSP is adopted by the Company in general meeting, provided always that the PSP may continue beyond the above stipulated period
with the approval of shareholders in general meeting and of any relevant authorities which may then be required. Notwithstanding the
expiry or termination of the PSP, any Awards made to participants prior to such expiry or termination will continue to remain valid.
Disclosure on Remuneration
Principle 9: Each company should provide clear disclosure of its remuneration policies, level and mix of remuneration, and the
procedure for setting remuneration, in the company’s Annual Report. It should provide disclosure in relation to its remuneration
policies to enable investors to understand the link between remuneration paid to directors and key management personnel, and
performance.
The remuneration of the Company’s Directors and Key Management Personnel has been formulated to attract, retain and motivate
these executives to run the Company successfully. The level and structure of remuneration are aligned with the long-term interests and
risk policies of the Company.
The Company adopts a remuneration policy for employees comprising a fixed component and a variable component. The fixed component
is in the form of a base salary. The variable component is in the form of a variable bonus that is linked to the performance of the Company
and the individual. The remuneration policy is aligned with the interests of the shareholders and promotes long-term success of the
Group. No remuneration consultants were engaged by the Company in FY2018.
The annual reviews of compensation are carried out by the RC to ensure that the remuneration of the Executive Directors and Key
Management Personnel commensurate with their performance and that of the Company, giving due regard to the financial and
commercial health and business needs of the Group. The performance of the Executive Directors (together with other Key Management
Personnel) is reviewed annually by the RC and the Board.
KIMLY L I M I T ED
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The Independent Directors receive Directors’ fees in accordance with their level of contributions, taking into account factors such
as effort and time spent, as well as the responsibilities and obligations of the Directors. The Company recognises the need to pay
competitive fees to attract, motivate and retain Directors without being excessive and thereby maximise shareholders’ value. Directors’
fees are recommended by the Board for approval at the Company’s AGM.
Executive Directors do not receive Directors’ fees but are remunerated as members of the management. Service contracts for Executive
Directors are for a fixed appointment period and do not contain onerous removal clauses. Please refer to pages 164 to 166 of the Offer
Documents for further details.
The remuneration received by the Executive Directors and Key Management Personnel takes into consideration his or her individual
performance and contribution towards the overall performance of the Group for FY2018. A breakdown of the remuneration of the
Directors and the Key Management Personnel (who are not also Directors or the Chief Executive Officer (or equivalent)) for FY2018
is set out below:
Remuneration of the Directors
Variable or
performance-
Remuneration band and names related income/
of Directors Base/fixed salary bonus(1) Director’s fees(2) Total
% % % %
Between S$750,001 to S$1,000,000

Lim Hee Liat 41.7 58.3 – 100
Between S$500,001 to S$750,000

Chia Cher Khiang 52.2 47.8 – 100
Between S$250,000 to S$500,000

Wong Kok Yoong(3) 83.8 16.2 – 100
Below S$250,000
Ter Kim Cheu – – 100 100
Wee Tian Chwee Jeffrey – – 100 100
Lim Teck Chai Danny – – 100 100
(1) The amounts are under the service contracts. Under the service contracts, Mr Lim Hee Liat and Mr Chia Cher Khiang are also entitled to fixed bonus and a performance
bonus (the “Performance Bonus”) in respect of each financial year, which is calculated based on the Group’s consolidated profit before tax (“PBT”) (before deducting
for such Performance Bonus). Please refer to pages 164 to 166 of the Company’s offer document dated 8 March 2017 for more information.
(2) The Directors’ fees are subject to the approval of the shareholders at the AGM.
(3) Ms Wong Kok Yoong was appointed as the Finance Director of the Company on 29 November 2018.
64
Remuneration of Key Management Personnel(1) (who are not also Directors or the Chief Executive Officer (or equivalent))
Remuneration band and names of Key Management Variable or

Personnel (who are not also Directors or the Chief performance related
Executive Officer (or equivalent)) Base/fixed salary income/bonus Total
% % %
Below S$250,000
Peh Kim Leong Sunny 100 – 100
(1) The Company only has 1 Key Management Personnel who is not a Director or the Chief Executive Officer (or equivalent).
There are no termination, retirement, post-employment benefits that may be granted to the Directors and the Key Management
Personnel.
Remuneration of employee related to Director
Name of employee who are family members of a Director Base/fixed salary Total
% %
Between S$50,001 and S$100,000

Lim Hee Thong Peter^
(Brother of Executive Chairman, Mr Lim Hee Liat) 100 100
(^) Mr Lim Hee Thong has resigned in October 2018
Although the Code recommends full disclosure in aggregate to the nearest thousand dollars of the total remuneration paid to each
individual Director, the Executive Directors and the Key Management Personnel on a named basis as well as the aggregate remuneration
paid to the top five key management personnel (who are not Directors or the Chief Executive Officer), the Board is of the opinion
that it is not in the best interests of the Company to disclose the exact details of their remuneration due to the competitiveness of the
industry for key talent.
(C) ACCOUNTABILITY AND AUDIT
Accountability
Principle 10: The Board should present a balanced and understandable assessment of the company’s performance, position and
prospects.
The Board endeavors to ensure that the annual audited financial statements and quarterly announcements of the Group’s financial
statements present a balanced and understandable assessment of the Group’s performance, position and prospects. The Board
embraces openness and transparency in the conduct of the Company’s affairs, whilst preserving the commercial interests of the
Company. Financials and other price sensitive information are disseminated to shareholders through announcements via SGXNET.
The Board takes steps to ensure compliance with legislative and regulatory requirements.
The Management provides the Board with management accounts of the Group’s performance, position and prospect on a regular basis,
and as the Board may require from time to time, to enable the Board to make a balanced and informed assessment of the Company’s
position.
KIMLY L I M I T ED
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Risk Management and Internal Controls
Principle 11: The Board is responsible for the governance of risk. The Board should ensure that Management maintains a sound system
of risk management and internal controls to safeguard shareholders’ interests and the company’s assets, and should determine the
nature and extent of the significant risks which the Board is willing to take in achieving its strategic objectives.
The Board is responsible for the overall risk governance, risk management and internal control framework of the Group and is fully
aware of the need to put in place a system of internal controls within the Group to safeguard shareholders’ interests and the Group’s
assets, and to manage risks.
Management is responsible to the Board for the design, implementation, and monitoring of the Group’s risk management and internal
control systems and to provide the Board with a basis to determine the Group’s level of risk tolerance and risk policies.
The Company’s internal auditors conduct an annual review of the key Group’s material internal controls. The Company’s internal
auditors review in respect of revenue and cash management; procurement; tenancy management; IT general controls; financial close
process; human resource and payroll was thereafter presented their findings to the AC.
As part of the external audit plan, the external auditors also reviewed and reported certain key accounting controls relating to financial
reporting, covering only selected financial cycles and highlight material findings, if any, to the AC. The AC and the Board review the
findings of both the internal and external auditors and the effectiveness of the actions taken by the management on the recommendations
made by the internal and external auditors in this respect.
The Board and the AC have received written assurance from the Chief Executive Officer (or equivalent) and the Chief Financial Officer/
Finance Director that:
(a) the financial records of the Group have been properly maintained and the financial statements for FY2018 give a true and fair
view of the Group’s operations and finances; and
(b) the risk management and internal control systems in place within the Group are adequate and effective in addressing the material
risks in the Group in its current business environment including material financial, operational, compliance and information
technology risks.
The Board and the AC note that the system of internal controls provides reasonable, but not absolute, assurance that the Group will not
be adversely affected by any event that could be reasonably foreseen as it strives to achieve its business objectives. In this regard, the
Board and the AC wish to highlight that no system of internal controls can provide absolute assurance against the occurrence of material
errors, poor judgment in decision-making, human error, losses, fraud or other irregularities.
The Board, with the concurrence of the AC, is of the opinion that the Group’s internal controls (including financial, operational,
compliance and information technology controls) and risk management systems were adequate and effective for FY2018.
The bases for the Board’s view are as follows:
(a) assurance has been received from the Chief Executive Officer (or equivalent) and the Chief Financial Officer/Finance Director;
(b) an internal audit has been done by the internal auditors and significant matters highlighted to the AC and Key Management
Personnel were appropriately addressed;
(c) Key Management Personnel regularly evaluates, monitors and reports to the AC on material risks;
66
(d) discussions were held between the AC and auditors in the absence of the Key Management Personnel to review and address any
potential concerns; and
(e) the Group has put in place whistle-blowing procedures by which employees may report and raise any concerns on possible
wrongdoings in good faith and in confidence. All concerns can be reported to the AC directly. AC will assess whether action or
review is required.
The Company is gradually placing emphasis on sustainability and would implement appropriate policies and programmes when the
opportunities arise.
Financial risks relating to the Group are set out in Note 29 to the financial statements of this annual report on pages 127 to 129.
Audit Committee (“AC”)
Principle 12: The Board should establish an Audit Committee with written terms of reference which clearly set out its authority and
duties.
The AC comprises entirely Independent Directors:
Wee Tian Chwee Jeffrey (Chairman)

Ter Kim Cheu
Lim Teck Chai Danny
The AC, inter alia, oversees the quality and integrity of the accounting, auditing, internal controls, risk management and financial
practices of the Group.
The Board is of the view that the AC members are appropriately qualified to discharge their responsibilities. The Board is satisfied that
the AC Chairman possesses recent and relevant accounting or related financial management expertise and experience.
The AC comprises members who are experienced in finance, legal and business fields.
The role of the AC is to assist the Board with discharging its responsibility to safeguard the Company’s assets, maintain adequate
accounting records and develop and maintain effective systems of internal controls.
For the year under review, the AC held four (4) meetings with the management and the external auditors, all of which the internal
auditors were present to discuss and review the following matters in accordance with its TORs, amongst others:
• Review the relevance and consistency of the accounting standards, the significant financial reporting issues, recommendations
and judgements made by the external auditors so as to ensure the integrity of the financial statements of the Group and any
announcements relating to the Group’s financial performance;
• Review and report to the Board at least annually the adequacy and effectiveness of the Group’s internal controls, including
financial, operation, compliance and information technology risks;
• Review the effectiveness and adequacy of the Group’s internal audit function;
• Review the scope and results of the external audit, and the independence and objectivity of the external auditors;
KIMLY L I M I T ED
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• Make recommendations to the Board on the proposals to the shareholders on the appointment, re-appointment and removal of
the external auditors, and approve the remuneration and terms of engagement of the external auditors;
• Review the system of internal controls and management of financial risks with the internal auditors and the external auditors;
• Review the co-operation given by the management to the external auditors and internal auditors, where applicable;
• Review the Group’s compliance with such functions and duties as may be required under the relevant statutes or the Catalist
Rules, including such amendments made thereto from time to time;
• Review and approve any interested person transactions;
• Review potential conflicts of interest (if any) and to set out a framework to resolve or mitigate any potential conflicts of interests;
• Review the risk management framework, with a view to providing an independent oversight on the Group’s financial reporting,
the outcome of such review to be disclosed in the annual reports or, where the findings are material, announced immediately via
SGXNET;
• Investigate any matters within its terms of reference;
• Review the policy and arrangements by which employees may, in confidence, raise concerns about possible improprieties in
matters of financial reporting and to ensure that arrangements are in place for the independent investigations of such matters and
for appropriate follow-up; and
• Undertake such other functions and duties as may be required by statute or the Catalist Rules, and by such amendments made
thereto from time to time
In performing its functions, the AC:
• met once with the external auditors and internal auditors, without the presence of the Company’s Management, and reviewed
the overall scope of the external audit, the internal audit and the assistance given by the management to the auditors for FY2018;
• has explicit authority to investigate any matter relating to the Group’s accounting, auditing, internal controls and financial practices
brought to its attention with full access to records, resources and personnel to enable it to discharge its function properly; and
• has full access to and cooperation of the Management and full discretion to invite any Director or Key Management Personnel to
attend its meetings.
The external and internal auditors have unrestricted access to the AC.
The AC has undertaken a review of the services, scope, independence and objectivity of the external auditors. Messrs Ernst & Young LLP,
the external auditors of the Company, has confirmed that they are a public accounting firm registered with the Accounting & Corporate
Regulatory Authority and has provided a confirmation of their independence to the AC. Having assessed the external auditors based
on factors such as performance and quality of their audit partners and auditing team, their overall qualification and their independence
status, the AC is satisfied that Rule 712 of the Rules of Catalist has been complied with and has recommended to the Board, the
nomination of the external auditors for re-appointment at the forthcoming AGM. The Company has also complied with Rule 715 of the
Rules of Catalist in relation to its auditing firms.
68
Independence of Auditors
There was no non-audit services provided by the external auditors during FY2018.
Details of the fees paid to the external auditors for FY2018 are disclosed under Note 8 on page 104 of the Annual Report. The AC
has recommended to the Board the re-appointment of Ernst & Young LLP as the external auditors of the Company at the forthcoming
AGM.
Whistle Blowing
The Company has in place a whistle-blowing policy endorsed by the AC, by which staff of the Group and any other persons may, in
confidence, raise concerns about possible improprieties in matters of financial reporting or other matters with the AC. The objective
for such arrangement is to ensure independent investigation of such matters and the appropriate follow-up action. Details of the
Company’s whistle-blowing policy can be found on the corporate website at www.kimlygroup.sg.
Internal Audit
Principle 13: The company should establish an effective internal audit function that is adequately resourced and independent of the
activities it audits.
The Group’s internal audit function is outsourced to RSM Risk Advisory Pte Ltd ("RSM"), a professional accounting firm which assists
the Group to review the adequacy of internal controls in its financial and operational systems and to provide recommendations
to strengthen any weaknesses in its internal controls. RSM reports to the AC on audit matters and reports administratively to the
management.
The AC is satisfied that RSM has adequate resources, has appropriate standing within the Group and is staffed with audit professionals
with relevant qualifications and experience.
An annual review of the outsourced internal audit function is carried out. The AC ensures, among others, the adequacy and effectiveness
of the internal audit function by examining the internal audit firm’s performance, resources, its audit plans and scope of work and that
the internal audit function is carried out according to standards set by international recognized professional bodies.
In furtherance of the Company’s efforts to raise the standards of corporate governance and compliance, the Company has also engaged
RSM to assist in the review and enhancement of the Group’s merger and acquisition’s internal controls and governance process.
(D) COMMUNICATION WITH SHAREHOLDER
Shareholder Rights
Principle 14: Companies should treat all shareholders fairly and equitably, and should recognise, protect and facilitate the exercise
of shareholders’ rights, and continually review and update such governance arrangements.
The Company recognizes the importance of maintaining transparency and accountability to its shareholders. The Board ensures that all
the Company’s shareholders are treated equitably and the rights of all investors, including non-controlling shareholders are protected.
The Company is committed to providing shareholders with adequate, timely and sufficient information pertaining to changes in the
Group’s business which could have a material impact on the Company’s share price.
KIMLY L I M I T ED
69
The Company strongly encourages shareholder participation during the AGM which will be held in a convenient location in Singapore.
Shareholders are able to proactively engage the Board and the management on the Group’s business activities, financial performance
and other business related matters.
A shareholder who is not a “relevant intermediary” is entitled to appoint not more than two proxies during his absence, to attend and
vote in his stead at general meetings. Shareholders who are “relevant intermediaries” such as banks, capital markets services licence
holders which provide custodial services for securities and the Central Provident Fund, are entitled to appoint more than two proxies
to attend and vote at general meetings.
Shareholders are encouraged to attend the AGM to ensure a greater level of shareholders’ participation and for them to be kept up to
date with the strategies and goals of the Group. All shareholders of the Company receive a copy of the Annual Report, the notice of AGM
and circular and notice pertaining to any extraordinary general meetings of the Company.
Communication with Shareholders
Principle 15: Companies should actively engage their shareholders and put in place an investor relations policy to promote regular,
effective and fair communication with shareholders.
The Company believes that a high standard of disclosure is key to raising the level of corporate governance. Quarterly results are
published through the SGXNET, news releases and the Company’s website. All information of the Company’s new initiatives will first be
disseminated via SGXNET followed by a news release, which is also available on the corporate website at www.kimlygroup.sg.
The Company has in place an investor relation policy, to promote regular, effective and fair communication. The Company held numerous
investor briefings during FY2018 to meet with institutional and retail investors. The Company has engaged an external investor relations
firm, WeR1 Consultants Pte Ltd to assist the Company in its investor relations initiatives.
The Company does not practice selective disclosure. Price sensitive information is publicly released and financial statements and
annual reports are announced or issued within the mandatory period and are available on the Company’s website. The notice of AGM
is also advertised in the newspapers.
The Company does not have a fixed dividend policy. However, the Directors intend to recommend and distribute dividends of not less
than 50.0% of the Group’s net profit attributable to shareholders as stated in the Offer Document. The Company may declare an annual
dividend with the approval of the shareholders in a general meeting, but the amount of such dividend shall not exceed the amount
recommended by the Board. The Board may also declare an interim dividend without the approval of the shareholders. For FY2018,
the Company had paid an interim dividend of 0.28 Singapore cents and is recommending a final dividend of 0.68 Singapore cents to be
approved at the forthcoming AGM. The total amount of dividends declared in respect of FY2018 is approximately S$11.1 million which
represents 50.7% of the Group’s net profit attributable to shareholders in FY2018.
Conduct of Shareholder Meetings
Principle 16: Company should encourage greater shareholder participation at general meetings of shareholders, and allow
shareholders the opportunity to communicate their views on various matters affecting the company.
The Company welcomes the views and/or comments of the shareholders on matters concerning the Company and encourages
shareholders’ participation at AGMs. The chairmen of the AC, the NC and the RC of the Company will be present at the general meetings
to answer questions from the shareholders. The external auditors will also be present to assist the Directors in addressing any relevant
queries by shareholders.
Each item of special business included in the notice of the meeting is accompanied, where appropriate, by an explanation for the
proposed resolution. Separate resolutions are proposed for substantially separate issues at the meeting.
70
The Company does not implement absentia voting methods such as voting via mail, e-mail or fax until security, integrity and other
pertinent issues are satisfactorily resolved.
The Company Secretary, with the assistance of his representative, prepares minutes of shareholders’ meetings, which incorporates
substantial comments or queries from shareholders and responses from the Board and the management. These minutes are available to
shareholders upon their request.
Each resolution at shareholders’ meetings is put to vote by poll. The detailed results showing the number of votes cast for and against
each resolution and the respective percentages are immediately presented and announced after each meeting.
(E) DEALINGS IN SECURITIES
The Company has issued a guideline on share dealings to its Directors and officers (including employees with access to price sensitive
information on the Company’s shares) of the Group which sets out the code of conduct on transactions in the Company’s shares by these
persons, the implications of insider trading and general guidance on such dealings.
In line with Rule 1204(19) of the Rules of Catalist, the Company issues a notification to its Directors and Officers of the Company
informing them that they should not deal in the securities of the Company during the periods commencing one month before the
announcement of the Company’s full-year financial statements and two weeks before the Company’s quarterly financial statements
until after the announcement. They are also discouraged from dealing in the Company’s shares on short term considerations.
The Board confirms that for FY2018, the Company, its Directors and Officers has complied with Rule 1204(19) of the Rules of Catalist.
(F) INTERESTED PERSON TRANSACTIONS
In connection with the IPO, the Group had obtained a general mandate from Shareholders for interested person transactions (“IPT”)
disclosed in pages 147 to 153 of the Offer Document. The general mandate for IPT has been renewed at the Extraordinary General
Meeting held on 23 January 2018.
The amounts owing by the Group to Mr. Lim Hee Liat and Mr. Chia Cher Khiang as at 30 September 2018 amounted to S$3,919,000
and S$146,000 respectively. Save as disclosed, there were no IPTs exceeding S$100,000 for FY2018.
KIMLY L I M I T ED
71
(G) USE OF IPO PROCEEDS
As at the date of this Annual Report, the status on the use of the IPO net proceeds is as follows:
Amount allocated
as stated in offer Balance of net
document Amount utilised proceeds
S$’000 S$’000 S$’000
Acquisitions and joint ventures and general business expansion

(including establishment of new food outlets) 30,363 (5,577) 24,786
Balance Consideration pursuant to Rescission^ – (2,600) (2,600)
Refurbishment and renovation of existing food outlets 3,000 (770) 2,230
Headquarters/Central Kitchen upgrading 5,000 (1,692) 3,308
Productivity initiatives/IT 2,000 (1,176) 824
Listing expenses 3,087 (3,087) –
Total 43,450 (14,902) 28,548
^ On 29 November 2018, the Company has rescinded ab initio its acquisition of Asian Story Corporation Pte. Ltd. (“ASC”) (“Rescission”). Pursuant to the Rescission,
out of the S$16.0 million consideration previously paid to the vendor for the acquisition of ASC, S$13.4 million has been repaid by the vendor and the Balance
Consideration of S$2.6 million is to be repaid over 3 years from 29 November 2018.
The above utilisations are in accordance with the intended use of IPO net proceeds, as stated in the Company’s Offer Document.
(H) MATERIAL CONTRACTS
Except as disclosed in Note 10 (Related Party Transactions) of the notes to the financial statements, there were no other material
contracts of the Company and its subsidiaries involving the interests of each Director or controlling shareholder (including the Executive
Director), either still subsisting at the end of the financial year or if not then subsisting, entered into since the end of the previous
financial year.
(I) NON-SPONSOR FEES
No non-sponsor fees were paid to the Company’s sponsor PrimePartners Corporate Finance Pte. Ltd. for FY2018.
72
DI R ECTO R S ' S TAT EM EN T
The directors are pleased to present their statement to the members together with the audited consolidated financial statements of
Kimly Limited (the "Company") and its subsidiaries (collectively, the "Group") and the statement of financial position and statement of
changes in equity of the Company for the financial year ended 30 September 2018.
1. Opinion of the directors
In the opinion of the directors,
(i) the consolidated financial statements of the Group and the statement of financial position and statement of changes in equity
of the Company are drawn up so as to give a true and fair view of the financial position of the Group and of the Company as
at 30 September 2018 and the financial performance, changes in equity and cash flows of the Group and changes in equity
of the Company for the year ended on that date; and
(ii) at the date of this statement there are reasonable grounds to believe that the Company will be able to pay its debts as and
when they fall due.
2. Directors
The directors of the Company in office at the date of this statement are:
Lim Hee Liat

Chia Cher Khiang
Ter Kim Cheu
Wee Tian Chwee Jeffrey
Lim Teck Chai Danny
Wong Kok Yoong
3. Arrangements to enable directors to acquire shares or debentures
Except as described in paragraph five below, neither at the end of nor at any time during the financial year was the Company a
party to any arrangement whose objects are, or one of whose objects is, to enable the directors of the Company to acquire benefits
by means of the acquisition of shares or debentures of the Company or any other body corporate.
KIMLY L I M I T ED
73
4. Directors' interests in shares or debentures
The following directors, who held office at the end of the financial year, had, according to the register of directors' shareholdings
required to be kept under Section 164 of the Singapore Companies Act, Chapter 50, an interest in shares of the Company and
related corporations (other than wholly-owned subsidiaries) as stated below:
Direct interest Deemed interest
At the At the
beginning At the end At 21 beginning At the end At 21
of financial of financial October of financial of financial October
Name of director year year 2018 year year 2018
Ordinary shares of the Company
Lim Hee Liat 489,915,165 449,915,165 449,915,165 – 40,000,000* 40,000,000

Chia Cher Khiang 14,513,391 14,513,391 14,513,391 2,960,000 2,960,000 ^
2,960,000
* This represents Mr Lim Hee Liat's direct interest held in the name of Raffles Nominees (Pte) Limited.
^ Mr Chia Cher Khiang is deemed to have an interest in the shares which his spouse holds or has an interest in.
By virtue of Section 7 of the Singapore Companies Act, Chapter 50, Lim Hee Liat is deemed to have an interest in the shares of
all the subsidiaries to the extent held by the Company.
Except as disclosed in this report, no director who held office at the end of the financial year had interests in shares, share options,
warrants or debentures of the Company, or of related corporations, either at the beginning of the financial year, or at the end of
the financial year.
5. Share options and awards
On 15 February 2017, the Company adopted the Kimly Employee Share Option Scheme and Kimly Performance Share Plan for the
granting of non-transferable share options and awards, respectively. These options and awards are settled by the physical delivery
of the ordinary shares of the Company to eligible participants (including Executive Directors and Independent Directors).
The Kimly Employee Share Option Scheme and Kimly Performance Share Plan are administrated by the Remuneration Committee
of the Company.
Since the commencement of the Kimly Employee Share Option Scheme and Kimly Performance Share Plan till the end of the
financial year, no share options and awards have been granted.
6. Audit committee
The Audit Committee performed the functions specified in the Singapore Companies Act, Chapter 50. The functions performed
are detailed in the Corporate Governance Report.
74
7. Auditor
Ernst & Young LLP have expressed their willingness to accept reappointment as auditor.
On behalf of the board of directors,
Lim Hee Liat

Director
Chia Cher Khiang

Director
Singapore
9 January 2019
KIMLY L I M I T ED
75
IND E P E N DEN T AU D I TOR' S REPORT

To the members of Kimly Limited
For the financial year ended 30 September 2018
Report on the audit of the financial statements
Opinion
We have audited the financial statements of Kimly Limited (the "Company") and its subsidiaries (collectively, the "Group"), which
comprise the statements of financial position of the Group and the Company as at 30 September 2018, the statements of changes
in equity of the Group and the Company and the consolidated statement of comprehensive income and consolidated statement of
cash flows of the Group for the year then ended, and notes to the financial statements, including a summary of significant accounting
policies.
In our opinion, the accompanying consolidated financial statements of the Group, the statement of financial position and the statement
of changes in equity of the Company are properly drawn up in accordance with the provisions of the Companies Act, Chapter 50 (the
"Act") and Financial Reporting Standards in Singapore ("FRSs") so as to give a true and fair view of the consolidated financial position
of the Group and the financial position of the Company as at 30 September 2018 and of the consolidated financial performance,
consolidated changes in equity and consolidated cash flows of the Group and changes in equity of the Company for the year ended on
that date.
Basis for opinion
We conducted our audit in accordance with Singapore Standards on Auditing ("SSAs"). Our responsibilities under those standards are
further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are independent
of the Group in accordance with the Accounting and Corporate Regulatory Authority ("ACRA") Code of Professional Conduct and Ethics
for Public Accountants and Accounting Entities ("ACRA Code") together with the ethical requirements that are relevant to our audit of
the financial statements in Singapore, and we have fulfilled our other ethical responsibilities in accordance with these requirements and
the ACRA Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Key audit matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the financial statements
of the current period. These matters were addressed in the context of our audit of the financial statements as a whole, and in forming
our opinion thereon, and we do not provide a separate opinion on these matters. For each matter below, our description of how our
audit addressed the matter is provided in that context.
We have fulfilled our responsibilities described in the Auditor's Responsibilities for the Audit of the Financial Statements section of
our report, including in relation to these matters. Accordingly, our audit included the performance of procedures designed to respond
to our assessment of the risks of material misstatement of the financial statements. The results of our audit procedures, including the
procedures performed to address the matters below, provide the basis for our audit opinion on the accompanying financial statements.
Completeness of revenue
For the financial year ended 30 September 2018, the Group's revenue from sale of food, beverages and tobacco products amounted
to $165,293,000, which accounted for 82% of the Group's revenue. Revenue from the sale of food, beverages and tobacco products
is recognised based on actual cash receipts from customers, and is transacted via a large volume of low-value cash transactions. Given
the large volume of cash transactions and as cash is susceptible to theft and pilferage, we have focused on the completeness of cash
and the corresponding revenue as a key audit matter.
76
IND E P E NDEN T AU D I TOR' S REPORT

Key audit matters (cont'd)
Completeness of revenue (cont'd)
As part of our audit, we evaluated the design and tested the operating effectiveness of key internal controls surrounding cash sales to
assess if sales are appropriately recorded. This included reviewing management's assessment of monthly outlet operating margins for
completeness of revenue recorded, testing the physical safeguards over cash on hand, and the recognition of revenue based on cash
receipts. We also performed sales cut-off procedures through cash cut-off testing to evaluate the completeness of revenue recorded
for all outlets as at 30 September 2018. During the financial year ended 30 September 2018, on a sample basis, for selected outlets,
we conducted surprise cash counts and observed the daily cash counts performed by management. We also attended and observed
management's year-end cash counts at selected outlets. Furthermore, we assessed the adequacy of the disclosures related to total
revenue and cash on hand in Note 4 and Note 19 respectively.
Recoverability of consideration receivable pursuant to Rescission
As stated in Note 17, at 30 September 2018, the Company has $16,000,000 of receivable due from the Vendor of Asian Story
Corporation Pte. Ltd. ("ASC") pursuant to the Deed of Rescission entered into between the Company and the Vendor on mutually
agreed terms to rescind the acquisition of ASC on 29 November 2018 (the "Rescission").
Subsequent to the Rescission, the Vendor has repaid $13,400,000 of the consideration to the Company as of 8 January 2019, with the
balance of $2,600,000 (the "Balance Consideration") due on 29 November 2020 and 29 November 2021 in instalments of $1,300,000
each year. The Balance Consideration is secured by a share charge over certain quoted equity securities (the "Securities") held by the
Vendor aggregating to $1,905,000 based on quoted prices as at 31 December 2018. Given the magnitude of the Balance Consideration
and the estimation uncertainty due to possible fluctuation of the market value of the Securities, we identified the recoverability of this
consideration receivable to be a key audit matter.
As part of our audit, we read the Deed of Rescission and related documents to obtain an understanding of the key terms of the
transaction and repayments. We ascertained the ownership and total market value as at 31 December 2018 against the Vendor’s
account statement held with The Central Depository. We also verified the cash repayments made by the Vendor to-date. In addition,
we have considered recoverability of the carrying value of the unsecured portion of the Balance Consideration, taking into account a
reasonably possible fluctuation in market value of the Securities. Furthermore, we assessed the adequacy of the disclosures related to
key estimation uncertainty and consideration receivable pursuant to Rescission in Note 3.2 and Note 17 respectively.
Other information
Management is responsible for other information. The other information comprises the information included in the annual report, but
does not include the financial statements and our auditor's report thereon.
Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion
thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider
whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit
or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material
misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of management and directors for the financial statements
Management is responsible for the preparation of financial statements that give a true and fair view in accordance with the provisions
of the Act and FRSs, and for devising and maintaining a system of internal accounting controls sufficient to provide a reasonable
assurance that assets are safeguarded against loss from unauthorised use or disposition; and transactions are properly authorised and
that they are recorded as necessary to permit the preparation of true and fair financial statements and to maintain accountability of
assets.
KIMLY L I M I T ED
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IND E P E N DEN T AU D I TOR' S REPORT

Responsibilities of management and directors for the financial statements (cont'd)
In preparing the financial statements, management is responsible for assessing the Group's ability to continue as a going concern,
disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either
intends to liquidate the Group or to cease operations, or has no realistic alternative but to do so.
The directors' responsibilities include overseeing the Group's financial reporting process.
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material
misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high
level of assurance, but is not a guarantee that an audit conducted in accordance with SSAs will always detect a material misstatement
when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could
reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
As part of an audit in accordance with SSAs, we exercise professional judgement and maintain professional scepticism throughout the
audit. We also:
• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and
perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis
for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error,
as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Group's internal control.
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures
made by management.
• Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence
obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group's
ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our
auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion.
Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or
conditions may cause the Group to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the
financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
• Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the
Group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and
performance of the group audit. We remain solely responsible for our audit opinion.
We communicate with the directors regarding, among other matters, the planned scope and timing of the audit and significant audit
findings, including any significant deficiencies in internal control that we identify during our audit.
We also provide the directors with a statement that we have complied with relevant ethical requirements regarding independence,
and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and
where applicable, related safeguards.
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IND E P E NDEN T AU D I TOR' S REPORT

Auditor's responsibilities for the audit of the financial statements (cont'd)
From the matters communicated with the directors, we determine those matters that were of most significance in the audit of the
financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor's report
unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a
matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to
outweigh the public interest benefits of such communication.
Report on other legal and regulatory requirements
In our opinion, the accounting and other records required by the Act to be kept by the Company and by those subsidiary corporations
incorporated in Singapore of which we are the auditors have been properly kept in accordance with the provisions of the Act.
The engagement partner on the audit resulting in this independent auditor's report is Tan Swee Ho.
Ernst & Young LLP

Public Accountants and
Chartered Accountants
Singapore
9 January 2019
KIMLY L I M I T ED
79
CON S O LIDAT ED S TAT EM EN T OF COMPREH EN SIVE IN COME

(Amounts in Singapore Dollars)

Note 2018 2017
$'000 $'000
Revenue 4 202,213 192,121

Cost of sales (162,026) (153,672)
Gross profit 40,187 38,449
Other item of income

Interest income from short-term deposits 645 108
Other operating income 5 2,972 3,027
Other items of expense

Selling and distribution expenses (4,022) (3,205)
Administrative expenses (13,973) (13,041)
Finance costs 6 (156) (407)
Other operating expenses 7 (584) (414)
Profit before tax 8 25,069 24,517

Income tax expense 11 (3,186) (3,088)
Profit for the year, representing total comprehensive income for the year
and attributable to owners of the Company 21,883 21,429
Earnings per share (cents per share)

– Basic and diluted 12 1.89 2.01
The accompanying accounting policies and explanatory notes form an integral part of the financial statements.
80
S TAT E M E NT S OF F I N A N C I A L POSIT ION

As at 30 September 2018

Group Company
Note 2018 2017 2018 2017
$'000 $'000 $'000 $'000
Assets
Non-current assets
Property, plant and equipment 13 10,326 8,541 – –
Intangible assets 14 4,297 1,305 – –
Investment in subsidiaries 15 – – 238,997 238,997
Deferred tax assets 16 292 333 – –
Other receivables 17 8,110 4,563 2,600 –
23,025 14,742 241,597 238,997
Current assets
Trade and other receivables 17 19,281 4,974 23,703 5,756
Inventories 18 1,015 1,113 – –
Prepayments 778 291 10 10
Cash and cash equivalents 19 71,669 85,079 38,473 45,690
92,743 91,457 62,186 51,456
Total assets 115,768 106,199 303,783 290,453
Current liabilities
Trade and other payables 20 19,418 20,620 6,608 336
Other liabilities 21 7,126 7,151 984 926
Obligation under finance lease 22 26 – – –
Provision for restoration costs 23 272 180 – –
Provision for taxation 3,473 3,126 10 –
30,315 31,077 7,602 1,262
Net current assets 62,428 60,380 54,584 50,194
Non-current liabilities
Obligation under finance lease 22 46 – – –
Deferred tax liabilities 16 399 357 – –
Other payables 20 804 594 – –
Provision for restoration costs 23 618 510 – –
1,867 1,461 – –
Total liabilities 32,182 32,538 7,602 1,262
Net assets 83,586 73,661 296,181 289,191
Equity attributable to owners of the Company

Share capital 24(a) 287,141 287,141 287,141 287,141
Treasury shares 24(b) (843) – (843) –
Other reserves 25 (120,123) (120,123) – –
Premium paid on acquisition of non-controlling interests (113,030) (113,030) – –
Retained earnings 30,441 19,673 9,883 2,050
Total equity 83,586 73,661 296,181 289,191
Total equity and liabilities 115,768 106,199 303,783 290,453
KIMLY L I M I T ED
81
S TAT E M E NT S OF C H AN G ES IN EQU IT Y

Attributable to owners of the Company
Premium
paid on
acquisition
Share Treasury Other of non-
capital shares reserves controlling Retained Total
Note (Note 24a) (Note 24b) (Note 25) interests earnings equity
$'000 $'000 $'000 $'000 $'000 $'000
Group
At 1 October 2017 287,141 – (120,123) (113,030) 19,673 73,661
Profit for the year, representing total
comprehensive income for the year – – – – 21,883 21,883
Contributions by and distributions
to owners
Dividends on ordinary shares 31 – – – – (11,115) (11,115)
Purchase of treasury shares – (843) – – – (843)
Total contributions by and distributions
to owners – (843) – – (11,115) (11,958)
At 30 September 2018 287,141 (843) (120,123) (113,030) 30,441 83,586
82

Attributable to owners of the Company
Premium
paid on
acquisition
Share Other of non- Non-
capital reserves controlling Retained controlling Total
Note (Note 24a) (Note 25) interests earnings Total interests equity
$'000 $'000 $'000 $'000 $'000 $'000 $'000
Group
At 1 October 2016 122,478 (120,123) – 7,762 10,117 8,204 18,321
Profit for the year,
representing total
comprehensive income for
the year – – – 21,429 21,429 – 21,429
Contributions by and
distributions to owners
Issuance of new shares
pursuant to IPO 43,450 – – – 43,450 – 43,450
Conversion of convertible
loans into 25,000,000
shares 5,168 – – – 5,168 – 5,168
Capitalisation of listing
expenses (1,584) – – – (1,584) – (1,584)
Conditional dividends
declared to the then-
existing shareholders of
subsidiaries 31 – – (4,715) (6,285) (11,000) – (11,000)
Issuance of shares for
acquisition of operating
leases 1,110 – – – 1,110 – 1,110
Dividends on ordinary shares 31 – – – (3,233) (3,233) – (3,233)
Total contributions by and
distributions to owners 48,144 – (4,715) (9,518) 33,911 – 33,911
Changes in ownership
interests in subsidiaries
Acquisition of non-controlling
interests in subsidiaries
satisfied through issuance
of 466,074,567 shares,
representing total changes
in ownership interests in
subsidiaries (Note 15) 116,519 – (108,315) – 8,204 (8,204) –
At 30 September 2017 287,141 (120,123) (113,030) 19,673 73,661 – 73,661
KIMLY L I M I T ED
83

Share Treasury Retained
Note capital shares earnings Total
$'000 $'000 $'000 $'000
Company
At October 2016 122,478 – (855) 121,623
Profit for the year, representing total comprehensive
income for the year – – 6,138 6,138
Contributions by and distributions to owners

Issuance of new shares pursuant to IPO 43,450 – – 43,450
Conversion of convertible loans into 25,000,000 shares 5,168 – – 5,168
Capitalisation of listing expenses (1,584) – – (1,584)
Issuance of shares for acquisition of operating leases 1,110 – – 1,110
Dividends on ordinary shares 31 – – (3,233) (3,233)
Total contributions by and distributions to owners 48,144 – (3,233) 44,911
Changes in ownership interests in subsidiaries

Acquisition of non-controlling interests in subsidiaries
satisfied through issuance of 466,074,567 shares,
representing total changes in ownership interests in
subsidiaries 15 116,519 – – 116,519
At 30 September 2017 and at 1 October 2017 287,141 – 2,050 289,191
Profit for the year, representing total comprehensive

income for the year – – 18,948 18,948
Contributions by and distributions to owners

Dividends on ordinary shares 31 – – (11,115) (11,115)
Purchase of treasury shares – (843) – (843)
At 30 September 2018 287,141 (843) 9,883 296,181
84
CONS O LIDAT ED S TAT EM EN T OF CASH F LOWS


Note 2018 2017
$'000 $'000
Operating activities
Profit before tax 25,069 24,517
Adjustments for:
Finance costs 6 156 407
Interest income on short-term deposits (645) (108)
Fair value loss on derivative liability 7 – 63
Depreciation of property, plant and equipment 13 2,526 1,948
Amortisation of intangible assets 14 335 349
Write-off of property, plant and equipment 13 248 –
Listing expenses – 1,012
Total adjustments 2,620 3,671
Operating cash flows before changes in working capital 27,689 28,188
Changes in working capital
Increase in trade and other receivables (17,766) (2,589)
Decrease in inventories 202 126
(Increase)/decrease in prepayments (488) 1,026
(Decrease)/increase in trade and other payables (127) 2,517
(Decrease)/increase in other liabilities (24) 823
Total changes in working capital (18,203) 1,903
Cash flows from operations 9,486 30,091
Interest received 663 22
Interest paid (1) –
Income taxes paid (2,913) (1,112)
Net cash flows generated from operating activities 7,235 29,001
Investing activities
Purchase of property, plant and equipment A (4,322) (4,366)
Purchase of intangible assets B (2,537) –
Net cash outflow on acquisition of businesses 15 (1,820) –
Net cash flows used in investing activities (8,679) (4,366)
Financing activities
Repayment of obligation under finance lease (8) (26)
Purchase of treasury shares 24(b) (843) –
Dividends paid to the then-existing shareholders of subsidiaries 31 – (11,000)
Dividends paid on ordinary shares 31 (11,115) (3,233)
Proceeds from convertible loans 6 – 5,000
Gross proceeds from issuance of new shares pursuant to IPO 24(a) – 43,450
Listing expenses paid – (3,193)
Net cash flows (used in)/generated from financing activities (11,966) 30,998
Net (decrease)/increase in cash and cash equivalents (13,410) 55,633
Cash and cash equivalents at 1 October 85,079 29,446
Cash and cash equivalents at 30 September 19 71,669 85,079
KIMLY L I M I T ED
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CON S O LIDAT ED S TAT EM EN T OF CASH F LOWS

Notes to the consolidated statement of cash flows
A. Property, plant and equipment
Note 2018 2017

$'000 $'000
Current year additions to property, plant and equipment 13 3,872 6,402

Less:
Provision for restoration costs 23 (200) (240)
Obligation under finance lease (80) –
Decrease/(increase) in other payables 730 (1,796)
Net cash outflow for purchase of property, plant and equipment 4,322 4,366
B. Intangible assets
Note 2018 2017

$'000 $'000
Current year additions to intangible assets 14 2,405 1,343

Less:
Decrease/(increase) in other payables 132 (398)
Satisfied through issuance of shares – (945)
Net cash outflow for purchase of intangible assets 2,537 –
86
NOT E S TO T H E F I N A N C I A L S TAT EMEN T S

1. Corporate information
1.1 The Company
Kimly Limited (the "Company") was incorporated on 23 May 2016 under the Companies Act and domiciled in Singapore. On 3
February 2017, the Company was converted into a public company limited by shares and changed its name from Kimly Pte. Ltd.
to Kimly Limited. The Company was listed on the Catalist Board of Singapore Exchange Securities Trading Limited (the "SGX-ST")
on 20 March 2017.
The registered office and principal place of business of the Company is located at 13 Woodlands Link, Singapore 738725.
The principal activities of the Company are those of investment holding and provision of management services. The principal
activities of the subsidiaries are disclosed in Note 15 to the financial statements.

1.2 The Restructuring Exercise
Transfer of businesses and entities under common control
The Group undertook the following transactions as part of a corporate reorganisation implemented in preparation for its listing
on the SGX-ST (the "Restructuring Exercise"):
(a) Acquisition of Businesses
Pursuant to a restructuring agreement dated 1 October 2016 (the "Restructuring Agreement"), certain subsidiaries of
the Group (the "Relevant Business Purchasers") acquired the assets, businesses and undertakings (the "Relevant Business
Assets") of various entities (the "Relevant Business Vendors") owned by the Relevant Kimly Shareholders (the "Businesses
Acquisition"). Such assets, businesses and undertakings include drinks stall business, mixed vegetable rice business, seafood
"zi char" business, and dim sum business. In accordance with the Restructuring Agreement, the consideration for the transfer
of the Relevant Business Assets from the Relevant Business Vendors to the Relevant Business Purchasers was satisfied by
the issuance of Shares in the Company to the Relevant Shareholder (the "Consideration Shares"). The consideration for the
Business Acquisition was determined based on a "willing buyer willing seller" basis, taking into account the adjusted earnings
before interest, tax, depreciation and amortisation ("EBITDA") for the period from 1 October 2015 to 30 September 2016 of
the Relevant Business Assets acquired.
KIMLY L I M I T ED
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NOTE S TO T H E F I N A N C I A L S TAT EMEN T S

1. Corporate information (cont'd)
1.2 The Restructuring Exercise (cont'd)
(b) Acquisition of Subsidiaries
Pursuant to the Restructuring Agreement, the Company, Kimly Makan Place Pte. Ltd., Kimly MVR Pte. Ltd., Kimly Dim Sum
Pte. Ltd. and Kimly Seafood Pte. Ltd. (collectively, the "Relevant Share Purchasers") acquired all of the issued and paid-
up ordinary shares (the "Relevant Sale Shares") of certain subsidiaries (the "Relevant Subsidiaries") from the respective
shareholders of the Relevant Subsidiaries (the "Relevant Share Vendors") (the "Subsidiaries Acquisition"). In accordance
with the Restructuring Agreement, the consideration for the transfer of the Relevant Sale Shares from the Relevant Share
Vendors to the Relevant Share Purchasers was satisfied by the issuance of Consideration Shares in the Company to the
Relevant Share Vendors. The consideration for the Subsidiaries Acquisition was determined based on a "willing buyer willing
seller" basis, taking into account the adjusted EBITDA for the period from 1 October 2015 to 30 September 2016 of the
Relevant Subsidiaries acquired (save for Kimly Food Holdings Pte. Ltd. which was based on revalued net asset value).
Prior to the Restructuring Exercise and during the financial year ended 30 September 2016, the Relevant Business Assets
and the Relevant Subsidiaries were controlled by Mr. Lim Hee Liat (the "Controlling Shareholder").
The above Restructuring Exercise is considered to be a business combination involving entities or businesses under common
control and is accounted for by applying the pooling of interests method. Accordingly, the assets and liabilities of these
businesses and entities transferred have been included in the consolidated financial statements at their carrying amounts.
Although the Restructuring Exercise occurred on 1 October 2016, the consolidated financial statements present the
financial position and financial performance as if the businesses had always been consolidated since the beginning of the
earliest period presented.
2. Summary of significant accounting policies
2.1 Basis of preparation
The consolidated financial statements of the Group and the statement of financial position and statement of changes in equity of
the Company have been prepared in accordance with Singapore Financial Reporting Standards ("FRS").
The consolidated financial statements have been prepared on the historical cost basis except as disclosed in the accounting
policies below.
88

2. Summary of significant accounting policies (cont'd)
2.1 Basis of preparation (cont'd)
The financial statements are presented in Singapore Dollars ("SGD" or "$") and all values in the tables are rounded to the nearest
thousand ("$'000") except when otherwise indicated.
Convergence with International Financial Reporting Standards
The Accounting Standards Council announced on 29 May 2014 that Singapore incorporated companies listed on the Singapore
Exchange will apply a new financial reporting framework identical to the International Financial Reporting Standards.
The Group has performed an assessment of the impact of adopting the new financial reporting framework and does not expect
material impact on the new financial reporting framework on 1 October 2018.

2.2 Changes in accounting policies
The accounting policies adopted are consistent with those of the previous financial year except that in the current financial year,
the Group has adopted all the new and revised standards which are effective for annual financial periods beginning on or after 1
October 2017. The adoption of these standards did not have any effect on the financial performance or position of the Group and
the Company.
2.3 Standards issued but not yet effective
The Group has not adopted the following standards applicable to the Group that have been issued but not yet effective:
Effective for annual

periods beginning on
Description or after
Amendments to FRS 102 Classification and Measurement of Share-based Payment Transactions 1 January 2018
FRS 109 Financial Instruments 1 January 2018
FRS 115 Revenue from Contracts with Customers 1 January 2018
FRS 116 Leases 1 January 2019
Improvements to FRSs (December 2016)
– Amendments to FRS 28 Investments in Associates and Joint Ventures 1 January 2018
INT FRS 123 Uncertainty over Income Tax Treatments 1 January 2019
Improvements to FRSs (March 2018)
– Amendments to FRS 103 Business Combinations 1 January 2019
– Amendments to FRS 12 Income Taxes 1 January 2019
Except for FRS 116, the directors expect that the adoption of the other standards above will have no material impact on the
financial statements in the period of initial application. The nature of the impending changes in accounting policy on adoption of
FRS 116 is described below.
KIMLY L I M I T ED
89

2.3 Standards issued but not yet effective (cont'd)
FRS 116 Leases
FRS 116 requires lessees to recognise most leases on balance sheets to reflect the rights to use the leased assets and the associated
obligations for lease payments as well as the corresponding interest expense and depreciation charges. The standard includes two
recognition exemption for lessees – leases of 'low value' assets and short-term leases. The new standard is effective for annual
periods beginning on or after 1 January 2019.
The Group is currently assessing the impact of the new standard and plans to adopt the new standard on the required effective
date. The Group expects the adoption of the new standard will result in increase in total assets and total liabilities, EBITDA and
gearing ratio.
2.4 Basis of consolidation and business combinations
(a) Basis of consolidation
The consolidated financial statements comprise the financial statements of the Company and its subsidiaries as at the end
of the reporting period. The financial statements of the subsidiaries used in the preparation of the consolidated financial
statements are prepared for the same reporting date as the Company. Consistent accounting policies are applied to like
transactions and events in similar circumstances.
All intra-group balances, income and expenses and unrealised gains and losses resulting from intra-group transactions and
dividends are eliminated in full.
Subsidiaries are consolidated from the date of acquisition, being the date on which the Group obtains control, and continue
to be consolidated until the date that such control ceases.
Losses within a subsidiary are attributed to the non-controlling interest even if that results in a deficit balance.
A change in the ownership interest of a subsidiary, without a loss of control, is accounted for as an equity transaction. If the
Group loses control over a subsidiary, it:
– derecognises the assets (including goodwill) and liabilities of the subsidiary at their carrying amounts at the date when
control is lost;
– derecognises the carrying amount of any non-controlling interest;
– derecognises the cumulative translation differences recorded in equity;
– recognises the fair value of the consideration received;
– recognises the fair value of any investment retained;
– recognises any surplus or deficit in profit or loss;
– re-classifies the Group's share of components previously recognised in other comprehensive income to profit or loss
or retained earnings, as appropriate.
90

2.4 Basis of consolidation and business combinations (cont'd)
(b) Business combinations and goodwill
Business combinations are accounted for by applying the acquisition method. Identifiable assets acquired and liabilities
assumed in a business combination are measured initially at their fair values at the acquisition date. Acquisition-related
costs are recognised as expenses in the periods in which the costs are incurred and the services are received.
Any contingent consideration to be transferred by the acquirer will be recognised at fair value at the acquisition date.
Subsequent changes to the fair value of the contingent consideration which is deemed to be an asset or liability will be
recognised in profit or loss.
The Group elects for each individual business combination, whether non-controlling interest in the acquiree (if any), that
are present ownership interests and entitle their holders to a proportionate share of net assets in the event of liquidation,
is recognised on the acquisition date at fair value, or at the non-controlling interest's proportionate share of the acquiree's
identifiable net assets. Other components of non-controlling interests are measured at their acquisition date fair value,
unless another measurement basis is required by another FRS.
Any excess of the sum of the fair value of the consideration transferred in the business combination, the amount of non-
controlling interest in the acquiree (if any), and the fair value of the Group's previously held equity interest in the acquiree
(if any), over the net fair value of the acquiree's identifiable assets and liabilities is recorded as goodwill. In instances where
the latter amount exceeds the former, the excess is recognised as gain on bargain purchase in profit or loss on the acquisition
date.
Goodwill is initially measured at cost. Following initial recognition, goodwill is measured at cost less any accumulated
impairment losses.
For the purpose of impairment testing, goodwill acquired in a business combination is, from the acquisition date, allocated
to the Group's cash-generating units that are expected to benefit from the synergies of the combination, irrespective of
whether other assets or liabilities of the acquiree are assigned to those units.
The cash-generating units to which goodwill have been allocated is tested for impairment annually and whenever there
is an indication that the cash-generating unit may be impaired. Impairment is determined for goodwill by assessing the
recoverable amount of each cash-generating unit (or group of cash-generating units) to which the goodwill relates.
(c) Business combinations involving businesses or entities under common control
Business combinations involving businesses or entities under common control are accounted for by applying the pooling of
interest method which involves the following:
– Assets, liabilities, reserves, revenue and expenses of consolidated business or entities are reflected at their existing
amounts;
– The retained earnings recognised in the consolidated financial statements are the retained earnings of the combining
entities or businesses immediately before the combination; and
– No additional goodwill is recognised as a result of the combination.
KIMLY L I M I T ED
91

2.4 Basis of consolidation and business combinations (cont'd)
(c) Business combinations involving businesses or entities under common control (cont'd)
The statement of comprehensive income reflects the results of the combining entities or businesses for the full year,
irrespective of when the combination took place. Comparatives are presented as if the entities or businesses had always
been combined since the date the entities or businesses had come under common control.
2.5 Transactions with non-controlling interests
Non-controlling interest represents the equity in subsidiaries not attributable, directly or indirectly, to owners of the Company.
Changes in the Company's ownership interest in a subsidiary that do not result in a loss of control are accounted for as equity
transactions. In such circumstances, the carrying amounts of the controlling and non-controlling interests are adjusted to reflect
the changes in their relative interests in the subsidiary. Any difference between the amount by which the non-controlling interest
is adjusted and the fair value of the consideration paid or received is recognised directly in equity and attributed to owners of the
Company.
2.6 Functional and foreign currency
The Group's financial statements are presented in SGD, which is also the Company's functional currency. Each entity in the Group
determines its own functional currency and items included in the financial statements of each entity are measured using the
functional currency.
Transaction and balances
Transactions in foreign currencies are measured in the respective functional currencies of the Company and its subsidiaries and
are recorded on initial recognition in the functional currencies at exchange rates approximating those ruling at the transaction
dates. Monetary assets and liabilities denominated in foreign currencies are translated at the rate of exchange ruling at the end of
the reporting period. Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using
the exchange rates as at the dates of the initial transactions. Non-monetary items measured at fair value in a foreign currency are
translated using the exchange rates at the date when the fair value was determined.
Exchange differences arising on the settlement of monetary items or on translating monetary items at the end of the reporting
period are recognised in profit or loss.
2.7 Property, plant and equipment
All items of property, plant and equipment are initially recorded at cost. Subsequent to recognition, property, plant and equipment
are measured at cost less accumulated depreciation and any accumulated impairment losses.
Depreciation is computed on a straight-line basis over the estimated useful lives of the assets as follows:
Leasehold building 30 years

Electrical and renovations 3 – 6 years
Equipment and fittings 3 – 5 years
Motor vehicles 5 – 6 years
92

2.7 Property, plant and equipment (cont'd)
Assets under construction are not depreciated as these assets are not yet available for use.
The carrying values of property, plant and equipment are reviewed for impairment when events or changes in circumstances
indicate that the carrying value may not be recoverable.
The residual value, useful life and depreciation method are reviewed at each financial year-end, and adjusted prospectively, if
appropriate.
An item of property, plant and equipment is de-recognised upon disposal or when no future economic benefits are expected
from its use or disposal. Any gain or loss arising on de-recognition of the asset is included in profit or loss in the year the asset is
de-recognised.
2.8 Intangible assets
Intangible assets acquired separately are measured initially at cost. Following initial acquisition, intangible assets are carried at
cost less any accumulated amortisation and any accumulated impairment losses.
The useful lives of intangible assets are assessed as either finite or indefinite.
Intangible assets with finite useful lives are amortised over the estimated useful lives and assessed for impairment whenever there
is an indication that the intangible asset may be impaired. The amortisation period and the amortisation method are reviewed at
least at each financial year-end. Changes in the expected useful life or the expected pattern of consumption of future economic
benefits embodied in the asset is accounted for by changing the amortisation period or method, as appropriate, and are treated as
changes in accounting estimates.
Intangible assets with indefinite useful lives or not yet available for use are tested for impairment annually, or more frequently if the
vents and circumstances indicate that the carrying value may be impaired either individually or at the cash-generating unit level.
Such intangible assets are not amortised. The useful life of an intangible asset with an indefinite useful life is reviewed annually to
determine whether the useful life assessment continues to be supportable. If not, the change in useful life from indefinite to finite
is made on a prospective basis.
Gains or losses arising from de-recognition of an intangible asset are measured as the difference between the net disposal
proceeds and the carrying amount of the asset and are recognised in profit or loss when the asset is de-recognised.
Lease assignment fees
Intangible assets relate to lease assignment fees paid to the previous tenants of the Group's leased premises when the leases were
transferred to the Group. These lease assignment fees were amortised on a straight-line basis over the remaining lease period of
between 3 to 10 years.
KIMLY L I M I T ED
93

2.8 Intangible assets (cont'd)
Computer software
Computer software are initially capitalised at cost, which includes the purchase price and other directly attributable cost of
preparing the asset for its intended use. Cost associated with maintaining the computer software are recognised as an expense
when they incurred.
Computer software are subsequently carried at cost less accumulated amortisation and accumulated impairment losses. These
costs are amortised to profit or loss using the straight-line method over the useful life of 3 years.
Brands
The brands were acquired in a business combination. The useful lives of the brands are estimated to be indefinite because based
on the current market share of the brands, management believes there is no foreseeable limit to the period over which the brands
are expected to generate net cash inflows for the Group.
2.9 Impairment of non-financial assets
The Group assesses at each reporting date whether there is indication that an asset may be impaired. If any indication exists, or
when annual impairment testing for an asset is required, the Group makes an estimate of the asset's recoverable amount.
An asset's recoverable amount is the higher of an asset's or cash-generating unit's fair value less costs of disposal and its value
in use and is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of
those from other assets or group of assets. Where the carrying amount of an asset or cash-generating unit exceeds its recoverable
amount, the asset is considered impaired and is written down to its recoverable amount.
Impairment losses are recognised in profit or loss.
A previously recognised impairment loss is reversed only if there has been a change in the estimates used to determine the asset's
recoverable amount since the last impairment loss was recognised. If that is the case, the carrying amount of the asset is increased
to its recoverable amount. That increase cannot exceed the carrying amount that would have been determined, net of depreciation,
had no impairment loss been recognised previously. Such reversal is recognised in profit or loss.
2.10 Subsidiaries
A subsidiary is an investee that is controlled by the Group. The Group controls an investee when it is exposed, or has rights, to
variable returns from its involvement with the investee and has the ability to affect those returns through its power over the
investee.
In the Company's separate financial statements, investments in subsidiaries are accounted for at cost less impairment losses.
94

2.11 Financial instruments
(a) Financial assets
Initial recognition and measurement
Financial assets are recognised when, and only when, the Group becomes a party to the contractual provisions of the
financial instrument. The Group determines the classification of its financial assets at initial recognition.
When financial assets are recognised initially, they are measured at fair value, plus, in the case of financial assets not at fair
value through profit or loss, directly attributable transaction costs.
Subsequent measurement
Non-derivative financial assets with fixed or determinable payments that are not quoted in an active market are classified
as loans and receivables. Subsequent to initial recognition, loans and receivables are measured at amortised cost using the
effective interest method, less impairment. Gains and losses are recognised in profit or loss when the loans and receivables
are de-recognised or impaired, and through the amortisation process.
De-recognition
A financial asset is de-recognised where the contractual right to receive cash flows from the asset has expired. On de-
recognition of a financial asset in its entirety, the difference between the carrying amount and the sum of the consideration
received and any cumulative gain or loss that had been recognised in other comprehensive income is recognised in profit or
loss.
(b) Financial liabilities
Initial recognition and measurement
Financial liabilities are recognised when, and only when, the Group becomes a party to the contractual provisions of the
financial instrument. The Group determines the classification of its financial liabilities at initial recognition.
All financial liabilities are recognised initially at fair value plus in the case of financial liabilities not at fair value through profit
or loss, directly attributable transaction costs.
Subsequent measurement
After initial recognition, financial liabilities are subsequently measured at amortised cost using the effective interest method.
Gains and losses are recognised in profit or loss when the liabilities are de-recognised, and through the amortisation process.
De-recognition
A financial liability is de-recognised when the obligation under the liability is discharged or cancelled or expires. When an
existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an
existing liability are substantially modified, such an exchange or modification is treated as a de-recognition of the original
liability and the recognition of a new liability, and the difference in the respective carrying amounts is recognised in profit
or loss.
KIMLY L I M I T ED
95

2.12 Impairment of financial assets
The Group assesses at each reporting date whether there is any objective evidence that a financial asset is impaired.
Financial assets carried at amortised cost
For financial assets carried at amortised cost, the Group first assesses whether objective evidence of impairment exists individually
for financial assets that are individually significant, or collectively for financial assets that are not individually significant. If the
Group determines that no objective evidence of impairment exists for an individually assessed financial asset, whether significant
or not, it includes the asset in a group of financial assets with similar credit risk characteristics and collectively assesses them for
impairment. Assets that are individually assessed for impairment and for which an impairment loss is, or continues to be recognised
are not included in a collective assessment of impairment.
If there is objective evidence that an impairment loss on financial assets carried at amortised cost has been incurred, the amount
of the loss is measured as the difference between the asset's carrying amount and the present value of estimated future cash
flows discounted at the financial asset's original effective interest rate. If a loan has a variable interest rate, the discount rate for
measuring any impairment loss is the current effective interest rate. The carrying amount of the asset is reduced through the use
of an allowance account. The impairment loss is recognised in profit or loss.
When the asset becomes uncollectible, the carrying amount of the impaired financial asset is reduced directly or if an amount was
charged to the allowance account, the amounts charged to the allowance account are written off against the carrying value of the
financial asset.
To determine whether there is objective evidence that an impairment loss on financial assets has been incurred, the Group
considers factors such as the probability of insolvency or significant financial difficulties of the debtor and default or significant
delay in payments.
If in a subsequent period, the amount of the impairment loss decreases and the decrease can be related objectively to an event
occurring after the impairment was recognised, the previously recognised impairment loss is reversed to the extent that the
carrying amount of the asset does not exceed its amortised cost at the reversal date. The amount of reversal is recognised in profit
or loss.
2.13 Cash and cash equivalents
Cash and cash equivalents comprise cash at bank and on hand and short-term deposits that are readily convertible to known
amounts of cash and which are subject to an insignificant risk of changes in value.
2.14 Inventories
Inventories are stated at the lower of cost and net realisable value. Costs incurred in bringing the inventories to their present
location and condition are accounted for on a first-in first-out basis.
Where necessary, allowance is provided for damaged, obsolete and slow moving items to adjust the carrying value of inventories
to the lower of cost and net realisable value.
Net realisable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and the
estimated costs necessary to make the sale.
96

2.15 Provisions
Provisions are recognised when the Group has a present obligation (legal or constructive) as a result of a past event, it is probable
that an outflow of resources embodying economic benefits will be required to settle the obligation and the amount of the obligation
can be estimated reliably.
Provisions are reviewed at the end of each reporting period and adjusted to reflect the current best estimate. If it is no longer
probable that an outflow of resources embodying economic benefits will be required to settle the obligation, the provision is
reversed. If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate that reflects,
where appropriate, the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of
time is recognised as a finance cost.
2.16 Government grants
Government grants are recognised when there is reasonable assurance that the grant will be received and all attaching conditions
will be complied with. Government grants shall be recognised in profit or loss on a systematic basis over the periods in which the
entity recognises as expenses the related costs for which the grants are intended to compensate. Grants related to income are
presented under other operating income.
2.17 Borrowing costs
Borrowing costs are expensed in the period they occur. Borrowing costs consist of interest and other costs that an entity incurs in
connection with the borrowing of funds.
2.18 Convertible loans
Convertible loans are separated into liability and equity components based on terms of the contract.
On issuance of the convertible loans, the fair value of the liability component is determined using a market rate for an equivalent
non-convertible bond. This amount is classified as a financial liability measured at amortised cost (net of transaction costs) until it
is extinguished on conversion or redemption in accordance with the accounting policy set out in Note 2.11(b).
The remainder of the proceeds is allocated to the conversion option that is recognised and included in shareholders' equity.
Transaction costs are deducted from equity, net of associated income tax. The carrying amount of the conversion option is not
remeasured in subsequent years.
Transaction costs are apportioned between the liability and equity components of the convertible loans based on the allocation of
proceeds to the liability and equity components when the convertible loans are initially recognised.
2.19 Employee benefits
(a) Defined contribution plans
The Group participates in the national pension schemes as defined by the laws of the countries in which it has operations. In
particular, the Singapore companies in the Group make contributions to the Central Provident Fund scheme in Singapore, a
defined contribution pension scheme. Contributions to defined contribution pension schemes are recognised as an expense
in the period in which the related service is performed.
KIMLY L I M I T ED
97

2.19 Employee benefits (cont'd)
(b) Employee leave entitlement
Employee entitlements to annual leave are recognised as a liability when they are accrued to the employees. The undiscounted
liability for leave expected to be settled wholly before twelve months after the end of the reporting period is recognised for
services rendered by employees up to the end of the reporting period.
(c) Employee share award plan
Employees of the Group receive remuneration in the form of share options as consideration for services rendered. The cost
of these equity-settled share based payment transactions with employees is measured by reference to the fair value of the
options at the date on which the options are granted which takes into account market conditions and non-vesting conditions.
This cost is recognised in profit or loss, with a corresponding increase in the employee share option reserve, over the vesting
period. The cumulative expense recognised at each reporting date until the vesting date reflects the extent to which the
vesting period has expired and the Group's best estimate of the number of options that will ultimately vest. The charge or
credit to profit or loss for a period represents the movement in cumulative expense recognised as at the beginning and end
of that period and is recognised in employee benefits expense. The employee share option reserve is transferred to retained
earnings upon expiry of the share option.
2.20 Leases
(a) As lessee
Finance leases, which transfer to the Group substantially all the risks and rewards incidental to ownership of the leased
item, are capitalised at the inception of the lease at the fair value of the leased asset or, if lower, at the present value of the
minimum lease payments. Any initial direct costs are also added to the amount capitalised. Lease payments are apportioned
between the finance charges and reduction of the lease liability so as to achieve a constant rate of interest on the remaining
balance of the liability. Finance charges are charged to profit or loss. Contingent rents, if any, are charged as expenses in the
periods in which they are incurred.
Capitalised leased assets are depreciated over the shorter of the estimated useful life of the asset and the lease term, if there
is no reasonable certainty that the Group will obtain ownership by the end of the lease term.
Operating lease payments are recognised as an expense in profit or loss on a straight-line basis over the lease term. The
aggregate benefit of incentives provided by the lessor is recognised as a reduction of rental expense over the lease term on
a straight-line basis.
(b) As lessor
Leases in which the Group does not transfer substantially all the risks and rewards of ownership of the asset are classified as
operating leases. Initial direct costs incurred in negotiating an operating lease are added to the carrying amount of the leased
asset and recognised over the lease term on the same bases as rental income. The accounting policy for rental income is set
out in Note 2.21(b). Contingent rents are recognised as revenue in the period in which they are earned.
98

2.21 Revenue
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be
reliably measured, regardless of when the payment is made. Revenue is measured at the fair value of consideration received or
receivable, taking into account contractually defined terms of payment and excluding taxes or duty.
(a) Revenue from sale of food, beverages and tobacco products
Revenue from sale of food, beverages and tobacco products is recognised upon delivery and acceptance by customers, net
of goods and services tax.
(b) Rental income
Rental income arising from operating leases is accounted for on a straight-line basis over the lease terms.
(c) Provision of cleaning and utilities services
Revenue from provision of cleaning and utilities services to the tenants are recognised upon the completion of the services
rendered.
(d) Outlet management fee
Revenue from the rendering of outlet management services is recognised on a straight-line basis over the terms of the
service agreements upon rendering of services. Additional revenue from incentives when performance indicators are met is
recognised in the period in which they are earned and when the amount can be measured reliably.
2.22 Taxes
(a) Current income tax
Current income tax assets and liabilities for the current and prior periods are measured at the amount expected to be
recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that
are enacted or substantively enacted at the end of the reporting period, in the countries where the Group operates and
generates taxable income.
Current income taxes are recognised in profit or loss except to the extent that the tax relates to items recognised outside
profit or loss, either in other comprehensive income or directly in equity. Management periodically evaluates positions taken
in the tax returns with respect to situations in which applicable tax regulations are subject to interpretation and establishes
provisions where appropriate.
KIMLY L I M I T ED
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2.22 Taxes (cont'd)
(b) Deferred tax
Deferred tax is provided using the liability method on temporary differences at the end of the reporting period between the
tax bases of assets and liabilities and their carrying amounts for financial reporting purposes.
Deferred tax liabilities are recognised for all taxable temporary differences, except:
• Where the deferred tax liability arises from the initial recognition of goodwill or of an asset or liability in a transaction
that is not a business combination and, at the time of the transaction, affects neither accounting profit nor taxable
profit or loss; and
• In respect of taxable temporary differences associated with investments in subsidiaries and associates, where the
timing of the reversal of the temporary differences can be controlled and it is probable that the temporary differences
will not reverse in the foreseeable future.
Deferred tax assets are recognised for all deductible temporary differences, the carry forward of unused tax credits and
unused tax losses, to the extent that it is probable that taxable profit will be available against which the deductible temporary
differences, and the carry forward of unused tax credits and unused tax losses can be utilised except:
• Where the deferred tax asset relating to the deductible temporary difference arises from the initial recognition of an
asset or liability in a transaction that is not a business consolidation and, at the time of the transaction, affects neither
accounting profit nor taxable profit or loss; and
• In respect of deductible temporary differences associated with investments in subsidiaries and associates, deferred
tax assets are recognised only to the extent that it is probable that the temporary differences will reverse in the
foreseeable future and taxable profit will be available against which the temporary differences can be utilised.
The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it
is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilised.
Unrecognised deferred tax assets are reassessed at the end of each reporting period and are recognised to the extent that it
has become probable that future taxable profit will allow the deferred tax asset to be recovered.
Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is
realised or the liability is settled, based on tax rates (and tax laws) that have been enacted or substantively enacted at the
end of each reporting period.
Deferred tax relating to items recognised outside profit or loss is recognised outside profit or loss. Deferred tax items are
recognised in correlation to the underlying transaction either in other comprehensive income or directly in equity.
Deferred tax assets and deferred tax liabilities are offset, if a legally enforceable right exists to set off current income tax
assets against current income tax liabilities and the deferred taxes relate to the same taxable entity and the same taxation
authority.
1 00

2.22 Taxes (cont'd)
(c) Sales tax
Revenues, expenses and assets are recognised net of the amount of sales tax except:
• Where the sales tax incurred on a purchase of assets or services is not recoverable from the taxation authority, in
which case the sales tax is recognised as part of the cost of acquisition of the asset or as part of the expense item as
applicable; and
• Receivables and payables that are stated with the amount of sales tax included.
2.23 Segment reporting
For management purposes, the Group is organised into operating segments based on their products and services which are
independently managed by the respective segment managers responsible for the performance of the respective segments under
their charge. The segment managers report directly to the management of the Company who regularly review the segment results
in order to allocate resources to the segments and to assess the segment performance. Additional disclosures on each of these
segments are shown in Note 28, including the factors used to identify the reportable segments and the measurement basis of
segment information.
2.24 Share capital and share issuance expenses
Proceeds from issuance of ordinary shares are recognised as share capital in equity. Incremental costs directly attributable to the
issuance of ordinary shares are deducted against share capital.
2.25 Treasury shares
The Group's own equity instruments, which are reacquired (treasury shares) are recognised at cost and deducted from equity. No
gain or loss is recognised in profit or loss on the purchase, sale, issue or cancellation of the Group's own equity instruments. Any
difference between the carrying amount of treasury shares and the consideration received, if reissued, is recognised directly in
equity. Voting rights related to treasury shares are nullified for the Group and no dividends are allocated to them respectively.
2.26 Contingencies
A contingent liability is:
(a) a possible obligation that arises from past events and whose existence will be confirmed only by the occurrence or non-
occurrence of one or more uncertain future events not wholly within the control of the Group; or
(b) a present obligation that arises from past events but is not recognised because:
(i) It is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation;
or
(ii) The amount of the obligation cannot be measured with sufficient reliability.
KIMLY L I M I T ED
101

2.26 Contingencies (cont'd)
A contingent asset is a possible asset that arises from past events and whose existence will be confirmed only by the occurrence or
non-occurrence of one or more uncertain future events not wholly within the control of the Group.
Contingent liabilities and assets are not recognised on the balance sheet of the Group, except for contingent liabilities assumed in
a business combination that are present obligations and which the fair values can be reliably determined.
3. Significant accounting judgements and estimates
The preparation of the Group's consolidated financial statements requires management to make judgements, estimates and
assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the disclosure of contingent
liabilities at the end of each reporting period. Uncertainty about these assumptions and estimates could result in outcomes that
require a material adjustment to the carrying amount of the asset or liability affected in the future periods.
3.1 Judgements made in applying accounting policies
In the process of applying the Group's accounting policies, management has not made any significant judgement, which has
significant effect on the amounts recognised in the financial statements.
3.2 Key sources of estimation uncertainty
The key assumptions concerning the future and other key sources of estimation uncertainty at the end of the reporting period are
discussed below. The Group based its assumptions and estimates on parameters available when the financial statements were
prepared. Existing circumstances and assumptions about future developments, however, may change due to market changes or
circumstances arising beyond the control of the Group. Such changes are reflected in the assumptions when they occur.
Recoverability of consideration receivable pursuant to Rescission
The Group assesses at the end of each reporting period whether there is any objective evidence that a financial asset is impaired.
Factors such as the probability of insolvency or significant financial difficulties of the debtor and default or significant delay in
payments are objective evidence of impairment. In determining whether there is objective evidence of impairment, the Group
considers whether there is observable data indicating that there have been significant changes in the debtor's payment ability
or whether there have been significant changes with adverse effect in the market, economic or legal environment in which the
debtor operates in.
The Group estimates the recoverability of Balance Consideration that is secured by a share charge over certain quoted equity
securities held by the Vendor. The carrying amount of the consideration receivable pursuant to the Rescission at the end of the
reporting period is disclosed in Note 17 to the financial statements. If the current market value of the quoted equity securities
decreases by 10%, the recoverability of the Balance Consideration would be negatively impacted by $191,000.
1 02

4. Revenue
Group
2018 2017
$'000 $'000
Sale of food, beverages and tobacco products 165,293 157,873

Fixed rental income from lease of premises to tenants 25,806 23,900
Contingent rental income from lease of premises to tenants 390 507
Provision of cleaning and utilities services 9,520 8,840
Outlet management fee 1,204 1,001
202,213 192,121
5. Other operating income
Group
2018 2017
$'000 $'000
Government grants:
– Productivity and Innovation Credit – 47
– Special Employment Credit 792 1,073
– Wage Credit Scheme 609 405
– Temporary Employment Credit 121 200
Sponsorships 936 881
Others 514 421
2,972 3,027
KIMLY L I M I T ED
103

5. Other operating income (cont'd)
Special Employment Credit
The Special Employment Credit ("SEC") was introduced as a 2011 Budget Initiative to support employers as well as to raise the
employability of older low-wage Singaporeans. It was enhanced in 2012 to provide employers with continuing support to hire
older Singaporean workers. It has been extended in Budget 2016 for three years from 2017 to 2019 to provide a wage-offset to
employers hiring Singaporean workers aged 55 and above, and earning up to $4,000.
Wage Credit Scheme
The Wage Credit Scheme ("WCS) was introduced as a 2013 Budget Initiative to help businesses which may face rising wage costs
in a tight labour market. It was extended in Budget 2015 and 2018. Under this scheme, the Singapore Government will co-fund
20%, 15% and 10% of qualifying wage increases given to the Group's Singaporean employees earning a gross monthly wage of
$4,000 and below in the years 2016 to 2018, 2019 and 2020 respectively.
Temporary Employment Credit
The Temporary Employment Credit ("TEC") was introduced by the Government as part of the 2014 Budget Initiatives to help
alleviate the rise in business costs due to the increase in Medisave contribution rates in January 2015. It also provides additional
support to help employers adjust to cost increases associated with the CPF changes which took effect in 2016. The TEC will
apply for 3 years, from 2015 to 2017.
Sponsorships
Income from sponsorships refer to marketing incentives received from suppliers over the sponsorship period.
6. Finance costs
Group
2018 2017
$'000 $'000
Interest expense on:

– Obligation under finance lease 1 1
– Convertible loans – 10
1 11
Amortisation of liability component of convertible loans – 105
Interest expense arising from the discount implicit in non-current receivables 155 291
156 407
Convertible loans
During the financial year ended 30 September 2017, the Company issued convertible loans at the principal sum of $5,000,000.
According to the Convertible Loan Agreements dated 29 December 2016, the Pre-Invitation Investors, Vanda 1 Investments Pte.
Ltd. and ICH Gemini Asia Growth Fund Pte. Ltd., shall be entitled to convert the Convertible Loans to 25,000,000 shares, (the
"Conversion Shares"). The number of Conversion Shares was determined by dividing the outstanding investment by the lesser
of a price equal to (i) 80% of the Invitation Price at $0.25 per Share or (b) the Valuation Cap. The Valuation Cap is defined as
ten times (10.0x) the Group's audited consolidated net profit after tax for the most recent completed financial year prior to the
Invitation divided by the total number of issued Shares in the Company on the date of the conversion notice (but excluding the
Shares to be converted under the convertible loan agreements with the Pre-Invitation Shareholders).
1 04

6. Finance costs (cont'd)
Convertible loans are separated into liability and equity components based on terms of the contract. On initial recognition,
the carrying amount of the convertible loans are separated into liability and equity amounting to $3,812,000 and $1,187,500
respectively. In March 2017, the Convertible loans have been fully converted into conversion shares with proceeds of $5,000,000,
accrued interest of $10,000, amortisation of liability component of $105,000, fair value loss on derivative liability of $63,000,
and subsequent conversion of the convertible loans into 25,000,000 ordinary shares of the Company amounting to $5,168,000
at 80% of the Invitation Price, $0.25, for each share.
7. Other operating expenses
Group
Note 2018 2017
$'000 $'000
Amortisation of intangible assets 14 335 349

Fair value loss on derivative liability – 63
Write-off of property, plant and equipment 13 248 –
Others 1 2
584 414
8. Profit before tax
The following expense items have been included in arriving at profit before tax:
Group
Note 2018 2017
$'000 $'000
Audit fees to auditors of the Company* 339 250

Non-audit fees:
– Auditor of the Company – 260
– Other members firms of EY Global – 4
– Other auditors 34 38
Depreciation of property, plant and equipment 13 2,526 1,948
Employee benefits expenses 9 53,725 50,234
Directors' fees 150 150
Fixed rental expense on operating leases 26(a) 36,806 32,890
Contingent rental expense on operating leases 26(a) 52 –
Cleaning charges 2,909 2,922
Utility charges 8,024 7,127
Packaging materials and other expendables 2,502 2,245
Repair and maintenance 2,183 2,018
Listing expenses – 1,012
Legal and other professional fees 731 486
* In addition to the fees disclosed, the Group paid $Nil (2017: $230,000) to the Auditors of the Company relating to the Initial Public Offering exercise of the
Company during the year. This is included in non-audit fees.
KIMLY L I M I T ED
105

9. Employee benefits expenses
Group
2018 2017
$'000 $'000
Employee benefits expenses (including Executive Directors):

– Salaries, bonuses and other costs 48,819 45,512
– Central Provident Fund contributions 3,147 3,057
– Other short-term benefits 1,759 1,665
53,725 50,234
Other short-term benefits include staff allowances, housing benefits, training and other employee benefits.
10. Related party transactions
(a) Sale and purchase of goods and services
In addition to the related party information disclosed elsewhere in the financial statements, the following significant
transactions between the Group and related parties took place on terms agreed between the parties during the financial
year:
Group
2018 2017
$'000 $'000
Rental paid to director-related companies 8,200 7,880

Purchase of beverages from a director-related company 428 588
(b) Commitments with related parties
The Group has entered into commercial leases with related parties in respect of retail outlet premises and all the leases do
not contain an escalation clause. Lease terms do not contain restrictions on the Group's activities concerning dividends,
additional debt or further leasing.
Future minimum rental payable under non-cancellable operating leases with related parties at the end of the reporting
period are as follows:
Group
2018 2017
$'000 $'000
Not later than one year 8,150 8,150

Later than one year but not later than five years 8,420 16,571
16,570 24,721
1 06

10. Related party transactions (cont'd)
(c) Compensation of key management personnel
Group
2018 2017
$'000 $'000
Salaries, bonuses and other costs 1,844 1,519

Central Provident Fund contributions 66 50
1,910 1,569
Comprise amounts paid to:

Directors of the Company 1,478 1,243
Other key management personnel 432 326
1,910 1,569
11. Income tax expense
(a) Major components of income tax expense
The major components of income tax expense for the years ended 30 September 2018 and 2017 are:
Group
2018 2017
$'000 $'000
Current income tax

– Current income taxation, representing total income tax expense recognised
in profit or loss 3,425 3,040
– (Over)/under provision in respect of previous years (166) 24
3,259 3,064
Deferred income tax
– Amortisation and reversal of temporary differences 59 24
– Over provision in respect of previous years (132) –
Income tax expense recognised in profit or loss 3,186 3,088
KIMLY L I M I T ED
107

11. Income tax expense (cont'd)
(b) Relationship between tax expense and accounting profit
A reconciliation between tax expense and the product of accounting profit multiplied by the applicable corporate tax rate
for the years ended 30 September 2018 and 2017 is as follows:
Group
2018 2017
$'000 $'000
Profit before tax 25,069 24,517
Tax at corporate tax rate of 17% 4,262 4,168

Adjustments:
– Non-deductible expenses 467 702
– Income not subject to taxation – (54)
– Effect of partial tax exemption and tax relief (1,243) (1,911)
– Deferred tax assets not recognised – 6
– (Over)/under provision in respect of previous years (298) 24
– Others (2) 153
Income tax expense recognised in profit or loss 3,186 3,088
12. Earnings per share
Basic earnings per share are calculated by dividing profit for the year, net of tax, attributable to the owners of the Company by the
number of ordinary shares.
Group
2018 2017
$'000 $'000
Profit for the year attributable to owners of the Company ($'000) 21,883 21,429
Weighted average number of ordinary shares for basic earnings per share
computation ('000) 1,157,272 1,064,411
Basic and diluted earnings per share (cents) 1.89 2.01
The diluted earnings per share are the same as the basic earnings per share as there were no outstanding dilutive shares for the
financial years ended 30 September 2018 and 2017.
1 08

13. Property, plant and equipment
Leasehold Electrical and Equipment Motor Assets under

building renovations and fittings vehicles construction Total
$'000 $'000 $'000 $'000 $'000 $'000
Group
Cost
At 1 October 2016 1,907 6,316 7,443 1,203 267 17,136
Additions 59 1,396 1,904 250 2,793 6,402
Transfer in/(out) 2,099 – – – (2,099) –
Written off – (2,836) (3,472) (19) – (6,327)
At 30 September 2017 and
1 October 2017 4,065 4,876 5,875 1,434 961 17,211
Acquisition of businesses – 446 241 – – 687
Additions – 1,501 1,134 358 879 3,872
Transfer in/(out) – 1,063 768 – (1,831) –
Written off – (671) (141) (38) (9) (859)
At 30 September 2018 4,065 7,215 7,877 1,754 – 20,911
Accumulated depreciation
At 1 October 2016 636 5,530 6,232 651 – 13,049
Depreciation charge for the
year 73 730 924 221 – 1,948
Written off – (2,836) (3,472) (19) – (6,327)
At 30 September 2017 and
1 October 2017 709 3,424 3,684 853 – 8,670
Depreciation charge for the
year 176 940 1,225 185 – 2,526
Written off – (521) (77) (13) – (611)
At 30 September 2018 885 3,843 4,832 1,025 – 10,585
Net carrying amount

At 30 September 2018 3,180 3,372 3,045 729 – 10,326
At 30 September 2017 3,356 1,452 2,191 581 961 8,541
Restoration costs
Included in the Group's carrying amount of electrical and renovations is $333,000 (2017: $221,000) of provision for restoration
costs.
Asset held under finance lease
During the financial year, the Group acquired a motor vehicle with an aggregate cost of $167,000 (2017: Nil) by means of a finance
lease. The carrying amount of the motor vehicle held under a finance lease at the end of the reporting period was $158,000 (2017:
$Nil).
The leased asset is pledged as security for the related finance lease liability.
KIMLY L I M I T ED
109

14. Intangible assets
Lease
assignment Computer
fees Brands software Total
$'000 $'000 $'000 $'000
Group
Cost
At 1 October 2016 9,695 – – 9,695
Additions 945 – 398 1,343
At 30 September 2017 and 1 October 2017 10,640 – 398 11,038
Acquisition of businesses – 922 – 922
Additions 2,300 – 105 2,405
At 30 September 2018 12,940 922 503 14,365
Accumulated amortisation
At 1 October 2016 9,384 – – 9,384
Charge for the year 341 – 8 349
At 30 September 2017 and 1 October 2017 9,725 – 8 9,733
Charge for the year 210 – 125 335
At 30 September 2018 9,935 – 133 10,068
Net carrying amount

At 30 September 2018 3,005 922 370 4,297
At 30 September 2017 915 – 390 1,305
Lease assignment fees
Intangible assets relate to lease assignment fees paid to the previous tenants of the Group's leased premises when the leases
were transferred to the Group.
Brands
The brands were acquired in a business combination. The useful lives of the brands are estimated to be indefinite because based
on the current market share of the brands, management believes there is no foreseeable limit to the period over which the brands
are expected to generate net cash inflows for the Group.
Computer software
Computer software are initially capitalised at cost, which includes the purchase price and other directly attributable cost of
preparing the asset for its intended use. Cost associated with maintaining the computer software are recognised as an expense
when they incurred.
Computer software are subsequently carried at cost less accumulated amortisation and accumulated impairment losses. These
costs are amortised to profit or loss using the straight-line method over the useful life of 3 years.
1 10

14. Intangible assets (cont'd)
Amortisation expense
The amortisation of intangible assets is included in the "Other operating expense" in the consolidated statements of comprehensive
income.
15. Investments in subsidiaries
Company
2018 2017
$'000 $'000
Unquoted equity shares, at cost 122,478 122,478

Issuance of shares for acquisition of non-controlling interests in subsidiaries 116,519 116,519
238,997 238,997
Composition of the Group
The Group has the following investments in subsidiaries as at the financial years ended 30 September:
Principal place Proportion (%) of

Name of subsidiaries of business Principal activities ownership interest
2018 2017
Held by the Company:
Kimly Food Holdings Pte. Ltd. (a) (b) Singapore Provision of management services 100 100
Chodee Food Holdings Pte. Ltd. (a) (b) Singapore Provision of management services 100 100
LHL Group Pte. Ltd. (a) (b) Singapore Provision of management services 100 100
Held through Kimly Food Holdings Pte. Ltd.
Kimly Makan Place Pte. Ltd. (a) Singapore Operating of coffee shop 100 100
Kimly MVR Pte. Ltd. (a) Singapore Sale of food products 100 100
Kimly Seafood Pte. Ltd. (a) Singapore Sale of food products 100 100
Held through Chodee Food Holdings Pte. Ltd.
Kimly Dim Sum Pte. Ltd. (a) Singapore Sale of food products 100 100
KIMLY L I M I T ED
111

15. Investments in subsidiaries (cont'd)
Composition of the Group (cont'd)

2018 2017
Held through Kimly Makan Place Pte. Ltd.
881 Hougang Food House Pte. Ltd. (a) (b) Singapore Operating of coffee shop 100 100
147 Serangoon Food House Pte. Ltd. (a) (b) Singapore Operating of coffee shop 100 100
BN123 Food House Pte. Ltd. (a) (b) Singapore Operating of coffee shop 100 100
Jin Wei Food Holdings Pte. Ltd. (formerly known Singapore Operating of coffee shop 100 100
as Causeway Food House Pte. Ltd.) (a) (b)
Chai Chee 29 Food House Pte. Ltd. (a) (b) Singapore Operating of coffee shop 100 100
Choh Dee Place (163A) Pte. Ltd. (a) (b) Singapore Operating of coffee shop 100 100
Choh Dee Place (346A) Pte. Ltd. (a) (b) Singapore Operating of coffee shop 100 100
Gourmet Express Food House Pte. Ltd. (a) (b) Singapore Operating of coffee shop 100 100
Jurong West 651 Food House Pte. Ltd. (a) (b) Singapore Operating of coffee shop 100 100
Park (E) Crescent Food House Pte. Ltd. (a) (b) Singapore Operating of coffee shop 100 100
Park Reservoir Food House Pte. Ltd. (a) (b) Singapore Operating of coffee shop 100 100
PP146 Food House Pte. Ltd. (a) (b) Singapore Operating of coffee shop 100 100
Sengkang 266 Food House Pte. Ltd. (a) (b) Singapore Operating of coffee shop 100 100
Tampines West Food Court Pte. Ltd. (a) (b) Singapore Operating of coffee shop 100 100
CDP Kimly Pte. Ltd. (a) Singapore Operating of coffee shop 100 100
Yong Yun Pte. Ltd. (a) Singapore Operating of coffee shop 100 100
Foodclique (Capeview) Pte. Ltd. (a) (b) Singapore Operating of coffee shop 100 100
Foodclique Pte. Ltd. (a) (b) Singapore Operating of coffee shop 100 100
1 12

Composition of the Group (cont'd)

2018 2017
Held through Kimly MVR Pte. Ltd.
Kimly MVR Central Pte. Ltd. (a) Singapore Sale of food products 100 100
Kimly MVR East Pte. Ltd. (a) Singapore Sale of food products 100 100
Kimly MVR West Pte. Ltd. (a) Singapore Sale of food products 100 100
Kimly Food Products Pte. Ltd. (a) (b) Singapore Operating of restaurant and 100 100
confectionary shop
Held through Kimly Seafood Pte. Ltd.
Kimly Seafood Central Pte. Ltd. (a) Singapore Sale of food products 100 100
Kimly Seafood East Pte. Ltd. (a) Singapore Sale of food products 100 100
Kimly Seafood West Pte. Ltd. (a) Singapore Sale of food products 100 100
Held through Kimly Dim Sum Pte. Ltd.
Kimly Dim Sum East Pte. Ltd. (a) Singapore Sale of food products 100 100
Kimly Dim Sum West Pte. Ltd. (a) Singapore Sale of food products 100 100
Kimly Food Manufacturing Pte. Ltd. (a) (b) Singapore Central food processing centre 100 100
(a) Audited by Ernst & Young LLP, Singapore

(b) The Group acquired the Relevant Sale Shares of these entities pursuant to the Restructuring Exercise as described in Note 1.2(b).
Acquisition of ownership interest in subsidiaries, without change of control
On 1 October 2016, the Group acquired the Relevant Business Assets and Relevant Sale Shares of its subsidiaries pursuant to
the Restructuring Exercise as described in Note 1.2. The Group also acquired all of the issued and paid-up ordinary shares of
its subsidiaries from non-controlling interests, which was satisfied through the issuance of 466,074,567 shares. The difference
between the fair value of the consideration shares and the carrying value of the additional interest acquired from the non-
controlling interests has been recognised as "Premium paid on acquisition of non-controlling interests" within equity.
KIMLY L I M I T ED
113

Acquisition of ownership interest in subsidiaries, without change of control (cont'd)
The following summarises the effect of the change in the Group's ownership interest in its subsidiaries on the equity attributable
to owners of the Company:
2018 2017
$'000 $'000
Consideration shares issued for the acquisition of non-controlling interests – 116,519

Decrease in equity attributable to non-controlling interests – (8,204)
Increase in equity attributable to owners of the Company – 108,315

Acquisition of businesses

On 16 July 2018 (the "acquisition date"), the Group's subsidiary company, Kimly Food Products Pte. Ltd. ("KFP") purchased the
restaurants and confectionery businesses under the trade names, Tonkichi and Rive Gauche, a strategic move to expand its product
offerings and provide more dining options for the Group’s customers in the local market.
The provisional fair value of the identifiable assets and liabilities of the acquired businesses as at the acquisition date were:
Provisional
Fair value
recognised on
acquisition
$'000
Property, plant and equipment 687

Provisional brands arising on the acquisition 922
Other receivables 235
Deposits 28
Inventories 104
1,976
Deferred tax liabilities (156)
Total identifiable net assets at fair value 1,820
Consideration settled in cash, representing net cash outflow on acquisition of businesses 1,820
Impact of the acquisition on profit or loss
From the acquisition date, the acquired businesses has contributed $1,856,000 of revenue and loss of $117,000 to the Group's
profit for the year. If the business combination had taken place at the beginning of the year, the contribution to the Group's
revenue would have been $8,528,000 and the contribution to the Group's profit after tax would have been loss of $37,000.

1 14

16. Deferred tax
Deferred tax as at 30 September relates to the following:
Consolidated statement of Consolidated statement of

financial position comprehensive income
2018 2017 2018 2017
$'000 $'000 $'000 $'000
Deferred tax liabilities:

Differences in depreciation for tax purposes (188) (324) (136) 324
Difference in amortisation of intangible assets (55) (33) 22 33
Fair value adjustments on acquisition of businesses (156) – – –
(399) (357) (114) 357
Deferred tax assets:
Provisions 146 87 (59) (87)
Unutilised tax losses 16 75 59 (75)
Unutilised capital allowances 130 171 41 (171)
292 333 41 (333)
Deferred tax expense 73 24
At the end of the reporting period, the Group has unutilised tax losses and unabsorbed capital allowances of approximately $Nil
(2017: $33,000) and $Nil (2017: $24,000) that are available for offset against future taxable profits of the companies in which
the losses arose, for which no deferred tax asset is recognised due to uncertainty of its recoverability. The use of these balances
is subject to the agreement of the tax authority and compliance with the relevant provisions of Singapore tax legislation.
Tax consequences of proposed dividends
There are no income tax consequences (2017: $Nil) attached to the dividends to the shareholders proposed by the Company but
not recognised as a liability in the financial statements (Note 31).
KIMLY L I M I T ED
115

17. Trade and other receivables
Group Company
Note 2018 2017 2018 2017
$'000 $'000 $'000 $'000
Trade and other receivables (current)

Trade receivables 984 740 – –
Other receivables 2,077 1,360 103 156
– Loans to employees 197 232 – –
– Deposits 2,623 2,642 – –
– Consideration receivable pursuant to Rescission 13,400 – 13,400 –
Loans to subsidiaries – – 8,400 4,300
Amount due from a subsidiary (trade) – – 1,800 1,300
19,281 4,974 23,703 5,756
Other receivables (non-current)

Loans to employee 195 111 – –
Deposits 5,315 4,452 – –
Consideration receivable pursuant to Rescission 2,600 – 2,600 –
8,110 4,563 2,600 –
Total trade and other receivables

(current and non-current) 27,391 9,537 26,303 5,756
Add:
Cash and cash equivalents 19 71,669 85,079 38,473 45,690
Total loans and receivables 99,060 94,616 64,776 51,446
Trade receivables
Trade receivables are non-interest bearing and are generally on 7 to 30 days' terms. They are recognised at their original invoice
amounts which represents their fair values on initial recognition.
Loans to subsidiaries/Amount due from a subsidiary (trade)
Loans to subsidiaries/amount due from a subsidiary (trade) are unsecured, non-interest bearing and are to be settled in cash.
Other receivables
Loans to employees are unsecured, interest-free and are to be settled in cash.
Deposits placed with lessors are unsecured and non-interest bearing. These deposits are refundable upon termination of the
leases.
Consideration receivable pursuant to Rescission
Consideration receivable pursuant to Rescission is interest-free and to be settled in cash.
1 16

17. Trade and other receivables (cont'd)
Consideration receivable pursuant to Rescission (cont'd)
On 2 July 2018, the Company acquired Asian Story Corporation Pte. Ltd. ("ASC") from Wang Chia Ye ("Vendor") for an aggregate
consideration of $16,000,000 ("Consideration"), with an additional earn-out payment to be determined based on the performance
of ASC. LHL Group Pte. Ltd. ("LHL Group", a wholly owned subsidiary of the Company) further entered into a three-year service
agreement with the Vendor.
The Group received written notification on 22 November 2018 from Pokka Corporation (Singapore) Pte. Ltd. of its intention to
terminate its manufacturing agreement with ASC on a six months' notice. Subsequent to the notification of the termination, the
Company and LHL Group have on 29 November 2018, on mutually agreed terms entered into a Deed of Rescission with the
Vendor and ASC to rescind the acquisition, and that the Vendor had not been employed by LHL Group ("Rescission").
Pursuant to the Rescission, out of the $16,000,000 consideration previously paid to the Vendor, $12,000,000 has been repaid
on 29 November 2018. The balance consideration of $4,000,000 is to be repaid over three years from 29 November 2018 as
follows:
(a) $1,400,000 within 12 months (the "First Installment");

(b) $1,300,000 within 24 months; and
(c) $1,300,000 within 36 months.
The consideration receivable is secured by a share charge granted in favour of the Company over the ASC shares (the "Share
Charge"), as well as an assignment granted by ASC over its receivables in favour of the Company (the "Assignment"). The Company
has also transferred all the shares of ASC to the Vendor, and LHL Group has rescinded its service agreement with the Vendor.
On 8 January 2019, the Company received in advance the First Instalment of $1,400,000 from the Vendor. As at the date of this
report, the balance amount of $2,600,000 is outstanding and repayable by the Vendor by 29 November 2020 and 29 November
2021 in instalments of $1,300,000 each year. The Company has substituted its security over the Share Charge and Assignment in
respect of the balance amount of $2,600,000 over certain quoted equity securities held by the Vendor aggregating to $1,905,000
based on quoted prices as at 31 December 2018.
During the year, the Group through the distributor of ASC has purchased Asian Story products as well as other products distributed
by ASC amount to $736,000 (2017: $371,000).
Trade receivables that are past due but not impaired
The Group has trade receivables amounting to $493,000 (2017: $334,000) that are past due at the end of the reporting period
but not impaired. These receivables are unsecured and the analysis of their aging at the end of the reporting period is as follows:
Group
2018 2017
$'000 $'000
Trade receivables past due but not impaired:

Lesser than 30 days 405 233
30 to 60 days 63 75
61 to 90 days – –
91 to 120 days 25 26
493 334
KIMLY L I M I T ED
117

18. Inventories
Group
2018 2017
$'000 $'000
Consolidated statement of financial position:

Raw materials and consumables, at cost 1,015 1,113
Consolidated statement of comprehensive income:

Inventories recognised as an expense in cost of sales 66,955 65,883
During the financial year ended 30 September 2018 and 2017, there has been no inventory written off or allowance for inventory
obsolescence.
19. Cash and cash equivalents
Group Company
2018 2017 2018 2017
$'000 $'000 $'000 $'000
Cash at banks and on hand 33,196 40,026 – 668

Short-term deposits 38,473 45,053 38,473 45,022
71,669 85,079 38,473 45,690
Cash at banks earn interest at floating rate. Short-term deposits are made for varying periods of between one to three months,
depending on the immediate cash requirements of the Group and the Company, and earn interests at the respective short-term
deposits rates. The weighted average effective interest rates as at 30 September 2018 for the Group and the Company were
1.48% (2017: 0.75%). Cash and short-term deposits are denominated in SGD.
1 18

20. Trade and other payables
Group Company
Note 2018 2017 2018 2017
$'000 $'000 $'000 $'000
Trade and other payables (current)

Trade payables 5,961 6,753 – –
Other payables 2,938 3,192 – –
GST payable 1,780 1,757 – –
Deposits from tenants 1,222 1,401 – –
Amounts due to the then-existing shareholders of
subsidiaries (non-trade) 7,517 7,517 – –
Amount due to a subsidiary (non-trade) – – 6,608 336
19,418 20,620 6,608 336
Other payables (non-current)
Deposits from tenants 804 562 – –
Other payables – 32 – –
804 594 – –
Total trade and other payables 20,222 21,214 6,608 336

Add:
Accrued operating expenses 21 7,121 7,148 984 926
Obligation under finance lease 72 – – –
Less:
GST payable (1,780) (1,757) – –
Total financial liabilities carried at amortised cost 25,635 26,605 7,592 1,262
There are no trade and other payables denominated in foreign currencies as at 30 September 2018 and 2017.
Trade and other payables are unsecured and non-interest bearing. Trade payables are repayable on demand while other payables
are generally on 30 days' terms.
Deposits from tenants are unsecured and non-interest bearing. These deposits are repayable upon termination or on expiration
of the leases.
Related party balances
Amounts due to the then-existing shareholders of subsidiaries/amount due to a subsidiary are unsecured, interest-free, repayable
on demand and are to be settled in cash.
KIMLY L I M I T ED
119

21. Other liabilities
Group Company
2018 2017 2018 2017
$'000 $'000 $'000 $'000
Accrued operating expenses 7,121 7,148 984 926

Deferred revenue 5 3 – –
7,126 7,151 984 926
Deferred revenue relates to advance sponsorship income for marketing incentives received from suppliers which are recognised
as income over the sponsorship period.
22. Obligation under finance lease
Group
Note 2018 2017
$'000 $'000
Current
Obligation under finance lease 26 26 –
Non-current
72 –
The obligation is secured by a charge over the leased asset (Note 13). The discount rate implicit in the lease is 8.0% per annum
(2017: Nil%). The obligation is denominated in Singapore dollars.
23. Provision for restoration costs
Group
2018 2017
$'000 $'000
At 1 October 690 450

Additions 200 240
At 30 September 890 690
Current 272 180

Non-current 618 510
890 690
Provision for restoration costs relates to the estimated costs to reinstate the Group's leased premises to their original state upon
expiry of the leases.
1 20

24. Share capital and treasury shares
(a) Share capital
Group and Company
2018 2017
No. of shares No. of shares

'000 $'000 '000 $'000
Issued and fully paid ordinary shares:

At 1 October 1,157,787 287,141 489,912 122,478
Issuance of shares pursuant to the
Restructuring Exercise (1) – – 466,075 116,519
Conversion of convertible loans (2)
– – 25,000 5,168
Issuance of shares pursuant to the initial public
offering (3) – – 173,800 43,450
Shares issuance expense (4) – – – (1,584)
Issuance of shares for acquisition of
operating leases – – 3,000 1,110
At 30 September 1,157,787 287,141 1,157,787 287,141
(1) Pursuant to the Restructuring Exercise as detailed in Note 1.2, 466,074,567 shares as adjusted for the Share Split, amounting to $116,519,000 were
issued as consideration for the acquisition of equity interests in subsidiaries from their respective non-controlling shareholders.
(2) Conversion of convertible loans into 25,000,000 ordinary shares of the Company amounting to $5,168,000 at 80% of the Invitation Price for each Share,
as detailed in Note 6.
(3) The Company issued 173,800,000 shares at $0.25 per share as part of its listing on Catalist of the SGX-ST on 20 March 2017.
(4) Listing expenses incurred pursuant to the Company's listing on Catalist of the SGX-ST amounted to $3,464,000, of which $1,584,000 has been
capitalised against share capital, while the remaining amount of $1,880,000 has been included in "Other operating expenses" in the consolidated
statement of comprehensive income.
(b) Treasury shares
Group and Company

2018
No. of shares
'000 $'000
At 1 October – –
Purchase of treasury shares 2,397 843
At 30 September 2,397 843
Treasury shares relate to ordinary shares of the Company that is held by the Company. There is no treasury shares held by
the Company as at 30 September 2017.

The Company acquired 2,397,000 (2017: Nil) shares in the Company through purchases on the Singapore Exchange during
the financial year. The total amount paid to acquire the shares was $843,000 (2017: $Nil) and this was presented as a
component within shareholders' equity.
KIMLY L I M I T ED
121

25. Other reserves
Group
2018 2017
$'000 $'000
Merger reserve (120,591) (120,591)

Deemed contribution from shareholders of subsidiary under common control 468 468
(120,123) (120,123)
Merger reserve
This represents the difference between the consideration paid and the share capital of the subsidiaries when entities under
common control are accounted for by applying the pooling of interests method, as described in Note 2.4 of the financial statements.
Deemed contribution from shareholders of subsidiary under common control
During the financial year ended 30 September 2014, the shareholders of one of the Group's subsidiaries had provided loans
amounting to $1,560,000 for payment of the subsidiary's lease assignment fees and working capital needs. During the financial
years ended 30 September 2015 and 2016, the subsidiary had made partial repayments amounting to $520,000 to the
shareholders. On 30 September 2016, the remaining amount owing to the Controlling Shareholder of $468,000 was waived by
the Controlling Shareholder.
26. Commitments
(a) Operating lease commitments - as lessee
The Group has entered into commercial leases in respect of its retail outlet and operating premises. These non-cancellable
leases have tenure of between 1 to 18 years. Certain of the leases contain a clause to enable revision of the rental charges
on annual basis based on prevailing market conditions. Certain of the leases contain escalation clauses and provide for
contingent rentals based on percentage of sales derived. Lease terms do not contain restrictions on the Group's activities
concerning dividends, additional debt or further leasing.
Minimum lease payments recognised as an expense in profit or loss for the financial year ended 30 September 2018
amounted to $36,858,000 (2017: $32,890,000).
Future minimum rental payable under non-cancellable operating leases at the end of the reporting period are as follows:
Group
2018 2017
$'000 $'000

Later than five years 1,085 1,170
72,529 65,316
1 22

26. Commitments (cont'd)
(b) Operating lease commitments - as lessor
The Group has entered into commercial lease agreements on its coffee shop premises. Certain of the leases contain
escalation clauses and provide for contingent rentals based on a percentage of sales derived.
Future minimum rental receivable under non-cancellable operating leases at the end of the reporting period are as follows:
Group
2018 2017
$'000 $'000

33,969 30,409
(c) Finance lease commitment
The Group has a finance lease for a motor vehicle which is secured by a charge over the leased motor vehicle.
Future minimum lease payments under finance lease together with the present value of the net minimum lease payments
are as follows:
2018 2017
Minimum Present value Minimum Present value
lease of payments lease of payments
payments (Note 20) payments (Note 20)
$'000 $'000 $'000 $'000
Not later than one year 29 26 – –

Later than one year but not later than five years 48 46 – –
Total minimum lease payments 77 72 – –
Less: Amounts representing finance charges (5) – – –
Present value of minimum lease payments 72 72 – –
KIMLY L I M I T ED
123

27. Fair value of assets and liabilities
Fair value hierarchy
The Group categorises fair value measurements using a fair value hierarchy that is dependent on the valuation inputs used as
follows:
Level 1 – Quoted prices (unadjusted) in active market for identical assets or liabilities that the Group can access at the
measurement date,
Level 2 – Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either
directly or indirectly, and
Level 3 – Unobservable inputs for the asset or liability.
Fair value measurements that use inputs of different hierarchy levels are categorised in its entirety at the same level of the fair
value hierarchy as the lowest level input that is significant to the entire measurement.
The carrying amount of financial assets and liabilities are reasonable approximation of fair values, due to their short-term nature.
Fair value of non-current receivables and payable are not materially different from their carrying amounts. The Group does not
anticipate that the carrying amounts recorded at the end of the reporting period would be significantly different from the values
that would eventually be received or settled.
At the end of the reporting period, the Group does not have any financial instruments carried at fair value.
28. Segment information
Business segments
For management's purpose, the Group is organised into three operating business segments, namely:
(a) Outlet management
Coffee shop operations are involved in the leasing of food outlet premises to tenants as the master leaseholder, the sale
of food, beverages and tobacco products, the provision of cleaning and utilities services to tenants, and the provision of
management services to third party coffee shops.
(b) Food retail
Food operations are primarily involved in retailing of food directly to consumers through the stalls, restaurants and
confectionery shops operated by the Group such as Mixed Vegetable Rice stalls, Rice Garden stalls, Dim Sum stalls, Zi Char
(Seafood) stalls, Teochew Porridge stalls, Live Seafood Restaurant, Tonkichi restaurants and Rive Gauche shops.
(c) Others
Others segment includes the provision of management, finance, human resource services, treasury and administrative
services.
1 24

28. Segment information (cont'd)
Business segments (cont'd)
Management monitors the operating results of its business units separately for the purpose of making decisions about resource
allocation and performance assessment. Segment performance is evaluated based on operating profit or loss which in certain
respects is measured differently from operating profit or loss in the consolidated financial statements.
Allocation basis
Segment results, assets and liabilities include items directly attributable to a segment as well as those that can be allocated on a
reasonable basis.
Segment revenue, expenses and results include transfers between business segments. These transfers are eliminated on
consolidation.
Non-cash items are not material to the financial statements and have not been separately presented.
Geographical information
The Group operates mainly in Singapore with revenue generated in Singapore. Accordingly, analysis of revenue and assets of the
Group by geographical distribution has not been presented.
Information about major customers
There is no single major customer that contributed more than 5% of the Group's total revenue. The revenue is spread over a broad
base of customers.
KIMLY L I M I T ED
125

Adjustments
Outlet and
management Food retail Others eliminations Note Group
$'000 $'000 $'000 $'000 $'000
2018
Revenue
Revenue from external customers 113,573 88,640 – – 202,213
Inter-segment revenue 27,079 21,902 40,468 (89,449) A –
Total revenue 140,652 110,542 40,468 (89,449) 202,213
Results:
Interest income 72 49 524 – 645
Interest expense – – 1 – 1
Discounting impact of non-current
refundable deposits 155 – – – 155
Depreciation of property,
plant and equipment 1,517 509 500 – 2,526
Employee benefits expense 23,151 26,431 4,143 – 53,725
Operating lease expenses 34,961 1,819 78 – 36,858
Amortisation of intangible assets 238 36 61 – 335
Segment profit/(loss) 11,532 18,769 (5,232) – 25,069
Assets:
Segment assets 31,938 17,885 65,945 – 115,768
Segment liabilities 16,134 9,048 7,000 – 32,182
Note
A Inter-segment revenues and income are eliminated on consolidation.
1 26

Adjustments
Outlet and
management Food retail Others eliminations Note Group
$'000 $'000 $'000 $'000 $'000
2017
Revenue
Revenue from external customers 111,175 80,946 – – 192,121
Inter-segment revenue 12,743 17,253 2,259 (32,255) A –
Total revenue 123,918 98,199 2,259 (32,255) 192,121
Results:
Interest income – – 108 – 108
Interest expense – – 11 – 11
Discounting impact of non-current
refundable deposits 291 – – – 291
Depreciation of property,
plant and equipment 1,349 382 217 – 1,948
Employee benefits expense 22,569 23,910 3,755 – 50,234
Operating lease expenses 31,658 992 85 – 32,735
Amortisation of intangible assets 342 3 4 – 349
Segment profit/(loss) 11,805 18,003 (5,291) – 24,517
Assets:
Segment assets 33,519 16,436 56,244 – 106,199
Segment liabilities 17,447 8,640 6,451 – 32,538
Note
A Inter-segment revenues and income are eliminated on consolidation.
KIMLY L I M I T ED
127

29. Financial risk management objectives and policies
The Group and the Company are exposed to financial risks arising from its operations and the use of financial instruments. The
key financial risks include credit risk and liquidity risk. Management continually monitors the Group's risk management process to
ensure that an appropriate balance between risk and control is achieved. It is, and has been throughout the current and previous
financial year, the Group's policy that no trading in derivatives for speculative purposes shall be undertaken.
The following sections provide details regarding the Group's and the Company's exposure to the above-mentioned financial risks
and the objectives, policies and processes for the management of these risks.
There has been no change to the Group's exposure to these financial risks or the manner in which it manages and measures the
risks.
(a) Credit risk
Credit risk is the risk of loss that may arise on outstanding financial instruments should a counterparty default on its
obligations. The Group's exposure to credit risk arises primarily from trade and other receivables. The credit risk with
respect to trade receivables is limited as the Group's revenue from sale of good and beverages are transacted on cash terms.
For other financial assets (including cash and cash equivalents), the Group and the Company minimises credit risk by dealing
exclusively with high credit rating counterparties.
Exposure to credit risk
At the end of the reporting period, the Group's maximum exposure to credit risk is represented by the carrying amount of
each class of financial assets recognised in the combined statements of financial position.
Credit risk concentration profile
At the end of the reporting period, the Group has no significant concentration of credit risk.
Financial assets that are neither past due nor impaired
Trade and other receivables that are neither past due nor impaired are with creditworthy debtors with good payment record
with the Group. Cash and short-term deposits are placed with reputable financial institutions with high credit ratings and no
history of default. They are neither past due nor impaired.
(b) Liquidity risk
Liquidity risk is the risk that the Group or the Company will encounter difficulty in meeting financial obligations due to
shortage of funds.
The Group monitors and maintains a level of cash and cash equivalents deemed adequate by management to finance the
Group's operations and mitigate the effect of fluctuations in cash flows.
1 28

29. Financial risk management objectives and policies (cont'd)
(b) Liquidity risk (cont'd)
Analysis of financial instruments by remaining contractual maturities
The table below summarises the maturity profile of the Group's and the Company's financial assets and liabilities at the end
of the reporting period based on contractual undiscounted repayment obligations.

1 to 5 Over
1 year or less years 5 years Total
$'000 $'000 $'000 $'000
Group
2018
Financial assets:
Trade and other receivables 19,281 8,389 385 28,055
Cash and short-term deposits 71,669 – – 71,669
Total undiscounted financial assets 90,950 8,389 385 99,724
Financial liabilities:
Trade and other payables 17,638 804 – 18,442
Accrued operating expenses 7,121 – – 7,121
Obligation under finance lease 29 48 – 77
Total undiscounted financial liabilities 24,788 852 – 25,640
Total net undiscounted financial assets 66,162 7,537 385 74,084
2017
Financial assets:
Trade and other receivables 4,974 4,888 181 10,043
Cash and short-term deposits 85,079 – – 85,079
Total undiscounted financial assets 90,053 4,888 181 95,122
Trade and other payables 18,863 594 – 19,457
Accrued operating expenses 7,148 – – 7,148
Total undiscounted financial liabilities 26,011 594 – 26,605
Total net undiscounted financial assets 64,042 4,294 181 68,517
KIMLY L I M I T ED
129

29. Financial risk management objectives and policies (cont'd)
(b) Liquidity risk (cont'd)
Analysis of financial instruments by remaining contractual maturities (cont'd)
1 to 5
1 year or less years Total
$'000 $'000 $'000
Company
2018
Financial assets:
Trade and other receivables 23,703 2,600 26,303
Cash and short-term deposits 38,473 – 38,473
Total undiscounted financial assets 62,176 2,600 64,776
Trade and other payables 6,608 – 6,608
Accrued operating expenses 984 – 984
Total undiscounted financial liabilities 7,592 – 7,592
Total net undiscounted financial assets 54,584 2,600 57,184
2017
Financial assets:
Trade and other receivables 5,756 – 5,756

Cash and short-term deposits 45,690 – 45,690
Total undiscounted financial assets 51,446 – 51,446
Trade and other payables 336 – 336
Accrued operating expenses 926 – 926
Total undiscounted financial liabilities 1,262 – 1,262
Total net undiscounted financial assets 50,184 – 50,184
30. Capital management
The Group manages its capital to ensure that entities in the Group will be able to continue as a going concern while maximising the
return to shareholders through optimisation of the debt and equity balance. No changes were made in the objectives, policies or
processes during the years ended 30 September 2018 and 2017.
1 30

30. Capital management (cont'd)
The capital structure of the Group consists of equity attributable to owners of the Company, comprising share capital, reserve
and retained earnings.
Group
Note 2018 2017
$'000 $'000

Trade and other payables 20 20,222 21,214
Accrued operating expenses 21 7,121 7,148
Less: Cash and cash equivalents 19 (71,669) (85,079)
Net cash (44,254) (56,717)
Equity attributable to owners of the Company, representing total capital 83,586 73,661
Gearing ratio NA* NA*
NA* Not applicable as the Company is in a net cash position.
31. Dividends
Group Company
2018 2017 2018 2017
$'000 $'000 $'000 $'000
Declared and paid during the financial year:

Dividends on ordinary shares:
– Final exempt (one-tier) dividend for 2017: 0.68
(2016: nil) cents per share 7,873 – 7,873 –
– Interim exempt (one-tier) dividend for 2018: 0.28
(2017: 0.28) cents per share 3,242 3,233 3,242 3,233
Dividends paid to the then-existing shareholders of
subsidiaries – 11,000 – –
11,115 14,233 11,115 3,233
Proposed but not recognised as a liability as at 30

September:
Dividends on ordinary shares, subject to shareholders'
approval at the AGM:
– Final exempt (one-tier) dividend for 2018: 0.68
(2017: 0.68) cents per share 7,855 7,873 7,855 7,873
KIMLY L I M I T ED
131

32. Event occurring after the reporting period
Regulatory orders for provision of information and documents

The Company and ASC have each received a letter on dated 22 November 2018 from the Commercial Affairs Department
("CAD") and the Monetary Authority of Singapore ("MAS") (collectively, the "Authorities") requesting for the provision of certain
documents and equipment.
In respect of the Company, the request relates to the production of, inter alia;
(a) documents pertaining to the Group in respect of the Company's Initial Public Offering and to the Company's acquisition of
ASC;
(b) IT equipment used by Mr Lim Hee Liat (Executive Chairman of the Company), Mr Chia Cher Khiang (Executive Director of
the Company) and Mr Ong Eng Sing (a former Non-Executive Director of the Company); and
(c) the corporate secretarial records of the Company from 1 January 2016.
In respect of ASC, the request relates to the production of, inter alia, its corporate secretarial and financial records and documents
relating to its acquisition by the Company.
The requests are made pursuant to the provisions of the Criminal Procedure Code in connection with an investigation into a
possible offence under the Securities and Future Act, Chapter 289 of Singapore ("SFA").
The Executive Chairman and Executive Director have also informed the Board that they have received similar requests from the
Authorities in connection with an investigation into a possible offence under Section 199 of the SFA.
On 4 December 2018, the Executive Chairman and Executive Director have informed the Board that they attended at CAD and
were released on bail after being arrested for having been concerned, or reasonably suspected of being involved in, an offence
under Section 199 of the SFA.
As at the date of this report, the investigation by the Authorities is still ongoing.
33. Authorisation of financial statements for issue
The financial statements for the year ended 30 September 2018 were authorised for issue in accordance with a resolution of the
directors on 9 January 2019.
1 32
S TAT IS T ICS OF S H AREH OL D I N G S

As at 24 December 2018
SHARE CAPITAL
Numer of Ordinary Shares in Issue

(excluding treasury shares and subsidary holdings) : 1,155,182,632
Number of treasury shares held : 2,604,100 (0.23%)
Number of subsidiary holdings : –
Class of Shares : Ordinary
Voting Rights : One vote for each ordinary share held

DISTRIBUTION OF SHAREHOLDINGS
NO. OF
SIZE OF SHAREHOLDINGS SHAREHOLDERS % NO. OF SHARES %
1 - 99 1 0.05 6 0.00
100 - 1,000 131 6.57 101,300 0.01
1,001 - 10,000 901 45.21 4,965,200 0.43
10,001 - 1,000,000 904 45.36 78,296,408 6.78
1,000,001 AND ABOVE 56 2.81 1,071,819,718 92.78
TOTAL 1,993 100.00 1,155,182,632 100.00
TWENTY LARGEST SHAREHOLDERS
NO. NAME NO. OF SHARES %
1 LIM HEE LIAT 449,915,165 38.95

2 PEH OON KEE 99,309,105 8.60
3 NG LAY BENG 66,872,966 5.79
4 DBS NOMINEES (PRIVATE) LIMITED 64,865,878 5.62
5 RAFFLES NOMINEES (PTE) LIMITED 54,476,900 4.72
6 NG THIAN HOO 48,062,724 4.16
7 NG HAN KEOW 47,406,862 4.10
8 VANDA 1 INVESTMENTS PTE LTD 41,961,600 3.63
9 ANG TIAN CHUA 41,768,618 3.62
10 CHIA CHER KHIANG (XIE SHUQIANG) 14,513,391 1.26
11 ANG KOK HUI 12,144,724 1.05
12 PEH KIM LEONG SUNNY (BAI JINLONG) 10,905,948 0.94
13 WONG HONG KOON 8,121,960 0.70
14 ANG LAY HIONG (HONG LIXIANG) 7,266,191 0.63
15 OW SOON POOH 6,845,850 0.59
16 HONG LEONG FINANCE NOMINEES PTE LTD 5,900,000 0.51
17 CITIBANK NOMINEES SINGAPORE PTE LTD 5,178,200 0.45
18 ONG ENG SING (WANG YONGSHENG) 5,140,000 0.44
19 DBS VICKERS SECURITIES (SINGAPORE) PTE LTD 4,824,600 0.42
20 REEVES TNG HUNG KWEE (REEVES TANG HANGUI) 4,744,011 0.41
TOTAL 1,000,224,693 86.59

KIMLY L I M I T ED
133
S TAT IS T ICS OF S H AREH OL D I N G S

As at 24 December 2018
SUBSTANTIAL SHAREHOLDERS
As recorded in the Register of Substantial Shareholders
Name of Shareholder Direct Interest Deemed Interest

No. of Shares % No. of Shares %
Lim Hee Liat 449,915,165 38.95 40,000,000 * 3.46

Peh Oon Kee 99,309,105 8.60 – –
Ng Lay Beng 66,872,966 5.79 10,300,000 ^ 0.89
* This represents Mr Lim Hee Liat’s direct interest held in the name of Raffles Nominees (Pte) Limited.
^ This represents Mr Ng Lay Beng’s direct interest of 5,800,000 shares held in the name of Hong Leong Finance Nominees Pte Ltd and 4,500,000 shares held in the name
of DBS Vickers Secs (S) Pte. Ltd.
SHARES HELD IN HANDS OF PUBLIC
Based on information available to the Company as at 24 December 2018, 42.31% of the issued ordinary shares of the Company are
held by the public and therefore Rule 723 of the Listing Manual, Section B: Rules of the Catalist of the Singapore Exchange Securities
Trading Limited is complied with.
1 34
NOT ICE O F AN N UAL G EN ERAL MEET IN G
NOTICE IS HEREBY GIVEN that the Annual General Meeting of the Company will be held at The Grassroots’ Club, 190 Ang Mo Kio
Avenue 8, Singapore 568046 on Wednesday, 30 January 2019 at 2.00 p.m. for the following purposes:
AS ROUTINE BUSINESS:
1. To receive and adopt the Directors’ Statement and the Audited Financial Statements of the Company for the financial year ended
30 September 2018 and the Auditors’ Report thereon. (Resolution 1)
2. To declare a Tax Exempt One-Tier Final Dividend of 0.68 Singapore cents per ordinary share for the financial year ended 30
September 2018. (Resolution 2)
3. To re-elect Mr Lim Hee Liat, being a Director who retires by rotation pursuant to Regulation 112 of the Constitution of the
Company. [See Explanatory Note (i) and (iv)] (Resolution 3)
4. To re-elect Mr Lim Teck Chai Danny, being a Director who retires by rotation pursuant to Regulation 112 of the Constitution of
the Company. [See Explanatory Note (ii) and (iv)] (Resolution 4)
5. To re-elect Ms Wong Kok Yoong, being a Director who retires pursuant to Regulation 116 of the Constitution of the Company.
[See Explanatory Note (iii) and (iv)] (Resolution 5)
6. To approve the payment of Directors’ fees of up to S$200,000 for the financial year ending 30 September 2019, to be paid
quarterly in arrears. (2018: S$150,000) (Resolution 6)
7. To re-appoint Messrs Ernst & Young LLP as Auditors and to authorise the Directors to fix their remuneration. (Resolution 7)
8. To transact any other routine business which may properly be transacted at an Annual General Meeting.
AS SPECIAL BUSINESS:
To consider and, if thought fit, to pass the following resolutions as Ordinary Resolutions, with or without modifications:
9. SHARE ISSUE MANDATE
THAT authority be hereby given to the Directors of the Company pursuant to Section 161 of the Companies Act, Chapter 50 of
Singapore (the "Companies Act") and Rule 806 of the Singapore Exchange Securities Trading Limited (“SGX-ST”) Listing Manual
Section B: Rules of Catalist (the “Rules of Catalist”) and notwithstanding the provisions of the Constitution of the Company, to:
(a) (i) issue shares in the capital of the Company (“Shares”), whether by way of rights, bonus or otherwise; and/or
(ii) make or grant offers, agreements or options (collectively, the "Instruments") that might or would require Shares to be
issued, including but not limited to the creation and issue of (as well as adjustments to) warrants, debentures or other
instruments convertible into Shares; and/or
(iii) (notwithstanding that the authority conferred by this resolution may have ceased to be in force) issue additional
Instruments arising from adjustments made to the number of Instruments previously issued in the event of rights,
bonus or other capitalisation issues, at any time and upon such terms and conditions and for such purposes and to such
persons as the Directors may in their absolute discretion deem fit,
KIMLY L I M I T ED
135
at any time and upon such terms and conditions and for such purposes and to such persons as the Directors may in their
absolute discretion deem fit; and
(b) (notwithstanding that the authority conferred by this resolution may have ceased to be in force) issue Shares in pursuance
of any Instrument made or granted by the Directors while this resolution is in force,
PROVIDED THAT:
(i) the aggregate number of Shares issued pursuant to this resolution (including Shares issued in pursuance to any
Instruments made or granted pursuant to this resolution), does not exceed one hundred per cent. (100%) of the total
number of issued Shares excluding subsidiary holdings (as defined in the Rules of Catalist) and treasury Shares (as
calculated in accordance with sub-paragraph (ii) below), of which the aggregate number of shares to be issued other
than on a pro rata basis to shareholders of the Company (including Shares to be issued in pursuance of Instruments
made or granted pursuant to this resolution) does not exceed fifty per cent. (50%) of the total number of issued Shares
excluding subsidiary holdings (as defined in the Rules of Catalist) and treasury Shares (as calculated in accordance with
sub-paragraph (ii) below);
(ii) (subject to such manner of calculation as may be prescribed by the SGX-ST) for the purpose of determining the aggregate
number of Shares that may be issued under sub-paragraph (i) above, the percentage of issued Shares excluding
subsidiary holdings (as defined in the Rules of Catalist) and treasury Shares of the Company shall be calculated based
on the total number of issued Shares excluding subsidiary holdings (as defined in the Rules of Catalist) and treasury
Shares of the Company at the time of the passing of this resolution, after adjusting for:
(A) new Shares arising from the conversion or exercise of any convertible securities or share options or vesting of
share awards which are outstanding or subsisting at the time of the passing of this resolution; and
(B) any subsequent bonus issue or consolidation or subdivision of Shares;
(iii) in exercising the authority conferred by this resolution, the Company shall comply with the provisions of the Companies
Act, the Rules of Catalist (including supplemental measures hereto) for the time being in force (unless such compliance
has been waived by the SGX-ST) and the Constitution for the time being of the Company; and
(iv) (unless revoked or varied by the Company in general meeting) the authority conferred by this resolution shall continue
in force until the conclusion of the next annual general meeting of the Company or the date by which the next annual
general meeting of the Company is required by law to be held, whichever is the earlier.
[See Explanatory Note (v)] (Resolution 8)
10. AUTHORITY TO OFFER AND GRANT OPTIONS AND ALLOT AND ISSUE SHARES UNDER THE KIMLY EMPLOYEE SHARE
OPTION SCHEME
THAT the Directors of the Company be hereby authorised to:
(a) offer and grant options (“Options”) in accordance with the provisions of the Kimly Employee Share Option Scheme (the
"Scheme") and pursuant to Section 161 of the Companies Act:
(i) to allot and issue from time to time such number of fully-paid new Shares as may be required to be delivered pursuant
to the vesting of the Options under the Scheme; and
1 36
(ii) (nothwithstanding the authority conferred by this resolution may have ceased to be in force) to allot and issue from
time to time such number of fully-paid new Shares as may be required to be delivered pursuant to any Options granted
by the Directors in accordance with the Scheme awarded while the authority conferred by this resolution was in force,
and
(b) subject to the same being allowed by law, apply any Shares purchased under any share purchase mandate and to deliver such
existing Shares (including treasury Shares) towards the satisfaction of Options granted under the Scheme,
PROVIDED THAT the aggregate number of Shares to be issued or transferred pursuant to the Options under the Scheme on
any date, when aggregated with the number of Shares over which options or awards are granted under any other share option
schemes or share schemes of the Company, shall not exceed fifteen per cent. (15%) of the total number of issued Shares of the
Company excluding subsidiary holdings (as defined in the Rules of Catalist) and treasury Shares on the day preceding that date.
[See Explanatory Note (vi)] (Resolution 9)
11. AUTHORITY TO OFFER AND GRANT AWARDS AND ALLOT AND ISSUE SHARES UNDER THE KIMLY PERFORMANCE SHARE
PLAN

THAT the Directors of the Company be hereby authorised to:
(a) offer and grant awards ("Awards") in accordance with the provisions of the Kimly Performance Share Plan (the "Share Plan")
and pursuant to Section 161 of the Companies Act:
(i) to allot and issue from time to time such number of fully-paid new Shares as may be required to be delivered pursuant
to the vesting of the Awards under the Share Plan; and
(ii) (nothwithstanding the authority conferred by this resolution may have ceased to be in force) to allot and issue from
time to time such number of fully-paid new Shares as may be required to be delivered pursuant to any Awards granted
by the Directors in accordance with the Share Plan awarded while the authority conferred by this resolution was in
force, and
(b) subject to the same being allowed by law, apply any Shares purchased under any share purchase mandate and to deliver such
existing Shares (including treasury Shares) towards the satisfaction of Awards granted under the Share Plan,
PROVIDED THAT the aggregate number of Shares to be issued or transferred pursuant to the Awards under the Share Plan on
any date, when aggregated with the number of Shares over which options or awards are granted under any other share option
schemes or share schemes of the Company, shall not exceed fifteen per cent. (15%) of the total number of issued Shares of the
[See Explanatory Note (vii)] (Resolution 10)
By Order of the Board
Hoon Chi Tern

Joint Company Secretary
Singapore, 14 January 2019
KIMLY L I M I T ED
137
Notes:
1. A member (other than a Relevant Intermediary*) entitled to attend and vote at the Annual General Meeting is entitled to appoint not more than two proxies to attend
and vote in his stead. A proxy need not be a member of the Company.
2. A Relevant Intermediary may appoint more than two proxies, but each proxy must be appointed to exercise the rights attached to a different share or shares held by
him (which number and class of shares shall be specified).
3. The instrument appointing a proxy must be deposited at the Registered Office of the Company at 13 Woodlands Link, Singapore 738725, not less than 72 hours before
the time appointed for holding the Annual General Meeting.
* A Relevant Intermediary is:
(a) a banking corporation licensed under the Banking Act (Cap. 19) or a wholly-owned subsidiary of such a banking corporation, whose business includes the provision of
nominee services and who holds shares in that capacity; or
(b) a person holding a capital markets services licence to provide custodial services for securities under the Securities and Futures Act (Cap. 289) and who holds shares in
that capacity; or
(c) the Central Provident Fund Board established by the Central Provident Fund Act (Cap. 36), in respect of shares purchased under the subsidiary legislation made under
that Act providing for the making of investments from the contributions and interest standing to the credit of members of the Central Provident Fund, if the Board holds
those shares in the capacity of an intermediary pursuant to or in accordance with that subsidiary legislation.
EXPLANATORY NOTES:
(i) Resolution 3 is to re-elect Mr Lim Hee Liat as a Director of the Company. Mr Lim, upon re-election, will remain as the Executive Chairman and a member of the
Nominating Committee of the Company.
(ii) Resolution 4 is to re-elect Mr Lim Teck Chai Danny as an Independent Director of the Company. Mr Danny Lim, upon re-election, will remain as an Independent
Director, the Chairman of the Remuneration Committee and a member of the Audit Committee and the Nominating Committee of the Company. Mr Danny Lim will be
considered independent for the purposes of Rule 704(7) of the Rules of Catalist.
(iii) Resolution 5 is to re-elect Ms Wong Kok Yoong as a Director of the Company. Ms Wong, upon re-election, will remain as the Finance Director and Chief Financial
Officer of the Company.
(iv) Please refer to the sections entitled “Board of Directors” and "Corporate Governance Report" in the annual report for the financial year ended 30 September 2018 for
information on the Directors which are put up for re-election.
(v) Resolution 8 proposed in item 9. above, if passed, is to empower the Directors to allot and issue Shares in the capital of the Company and/or Instruments (as defined
above). The aggregate number of Shares to be issued pursuant to resolution 8 (including Shares to be issued in pursuance of Instruments made or granted) shall not
exceed one hundred per cent. (100%) of the total number of issued Shares excluding subsidiary holdings (as defined in the Rules of Catalist) and treasury Shares of the
Company, with a sub-limit of fifty per cent. (50%) for Shares issued other than on a pro rata basis (including Shares to be issued in pursuance of Instruments made or
granted pursuant to this resolution) to shareholders with registered addresses in Singapore. For the purpose of determining the aggregate number of Shares that may
be issued, the percentage of the total number of issued Shares excluding subsidiary holdings (as defined in the Rules of Catalist) and treasury Shares of the Company will
be calculated based on the total number of issued Shares excluding subsidiary holdings (as defined in the Rules of Catalist) and treasury Shares of the Company at the
time of the passing of resolution 8, after adjusting for (A) new Shares arising from the conversion or exercise of any convertible securities or share options or vesting of
share awards which are outstanding or subsisting at the time of the passing of this resolution 8, provided the options or awards were granted in compliance with Part
VIII of Chapter 8 of the Rules of Catalist of the SGX-ST; and (B) any subsequent bonus issue or consolidation or subdivision of Shares.
(vi) Resolution 9 proposed in item 10. above, if passed, is to authorise the Directors to (a) offer and grant Options in accordance with the provisions of the Scheme and
pursuant to Section 161 of the Companies Act; and (b) subject to the same being allowed by law, apply any Shares purchased under any share purchase mandate and to
deliver such existing Shares (including treasury Shares) towards the satisfaction of Options granted under the Scheme, provided always that the aggregate number of
Shares to be issued or transferred pursuant to the Options under the Scheme on any date, when aggregated with the number of Shares over which options or awards
are granted under any other share option schemes or share schemes of the Company, shall not exceed fifteen per cent. (15%) of the total number of issued Shares of the
1 38
(vii) Resolution 10 proposed in item 11. above, if passed, is to authorise the Directors to (a) offer and grant Awards in accordance with the provisions of the Share Plan and
pursuant to Section 161 of the Companies Act; and (b) subject to the same being allowed by law, apply any Shares purchased under any share purchase mandate and
to deliver such existing Shares (including treasury Shares) towards the satisfaction of Awards granted under the Share Plan, provided always that the aggregate number
of Shares to be issued or transferred pursuant to the Awards under the Share Plan on any date, when aggregated with the number of Shares over which options or
awards are granted under any other share option schemes or share schemes of the Company, shall not exceed fifteen per cent. (15%) of the total number of issued
Shares of the Company excluding subsidiary holdings (as defined in the Rules of Catalist) and treasury Shares on the day preceding that date.
Personal data privacy:
By submitting an instrument appointing a proxy(ies) and/or representative(s) to attend, speak and vote at the Annual General Meeting and/or any adjournment thereof, a
member of the Company: (i) consents to the collection, use and disclosure of the member’s personal data by the Company (or its agents) for the purpose of the processing
and administration by the Company (or its agents) of proxies and representatives appointed for the Annual General Meeting (including any adjournment thereof) and the
preparation and compilation of the attendance lists, minutes and other documents relating to the Annual General Meeting (including any adjournment thereof), and in order
for the Company (or its agents) to comply with any applicable laws, listing rules, regulations and/or guidelines (collectively, the “Purposes”); (ii) warrants that where the member
discloses the personal data of the member’s proxy(ies) and/or representative(s) to the Company (or its agents), the member has obtained the prior consent of such proxy(ies)
and/or representative(s) for the collection, use and disclosure by the Company (or its agents) of the personal data of such proxy(ies) and/or representative(s) for the Purposes;
and (iii) agrees that the member will indemnify the Company in respect of any penalties, liabilities, claims, demands, losses and damages as a result of the member’s breach of
warranty.
KIMLY L I M I T ED
KIMLY LIMITED IMPORTANT:
(Incorporated in Singapore) 1. An investor who holds shares under the Supplementary Retirement Scheme (“SRS
Investor”) (as may be applicable) may attend and cast his vote(s) at the Meeting in person.
(Registration No. 201613903R) SRS Investors who are unable to attend the Meeting but would like to vote, may inform
their SRS Approved Nominees to appoint the Chairman of the Meeting to act as their
P ROX Y FO R M
proxy, in which case, the SRS Investors shall be precluded from attending the Meeting.
2. This Proxy Form is not valid for use by SRS Investors and shall be ineffective for all intents
and purposes if used or purported to be used by them.
(Please see notes overleaf before completing this Form)
I/We, (Name) (NRIC/ Passport Number/ Company Regn. No.)
of (Address)
being a member/members of KIMLY LIMITED (the “Company”), hereby appoint:
Name NRIC/Passport No. Proportion of Shareholdings

No. of Shares %
Address
and/or failing him/her (delete as appropriate)
Name NRIC/Passport No. Proportion of Shareholdings

No. of Shares %
Address
as my/our proxy/proxies to attend and vote for me/us on my/our behalf at the Annual General Meeting ("AGM") of the Company to be
held at The Grassroots’ Club, 190 Ang Mo Kio Avenue 8, Singapore 568046 on Wednesday, 30 January 2019 at 2.00 p.m. and at any
adjournment thereof.
The proxy/proxies shall vote on the Resolutions set out in the notice of the AGM in accordance with my/our directions as indicated
hereunder. Where no such direction is given, the proxy/proxies may vote or abstain from voting at his/their discretion, on any matter at
the AGM or at any adjournment thereof.
No. Resolutions relating to: For Against

ROUTINE BUSINESS
1 Adoption of Directors’ Statement and the Audited Financial Statements for the financial year ended 30
September 2018 (Resolution 1)
2 Approval of Tax Exempt One-Tier Final Dividend (Resolution 2)
3 Re-election of Mr Lim Hee Liat as a Director (Resolution 3)
4 Re-election of Mr Lim Teck Chai Danny as a Director (Resolution 4)
5 Re-election of Ms Wong Kok Yoong as a Director (Resolution 5)
6 Approval of Directors’ fees of up to S$200,000 for the financial year ending 30 September 2019, to be
paid quarterly in arrears (Resolution 6)
7 Re-appointment of Messrs Ernst & Young LLP as Auditors (Resolution 7)
SPECIAL BUSINESS
8 Approval of the Share Issue Mandate (Resolution 8)
9 Authority for Directors to offer and grant options and to allot and issue new shares under the Kimly
Employee Share Option Scheme (Resolution 9)
10 Authority for Directors to offer and grant awards and to allot and issue new shares under the Kimly
Performance Share Plan (Resolution 10)
* If you wish to exercise all your votes "For" or "Against", please indicate with a tick ( ) within the box provided. Alternatively, please indicate the number of votes as
appropriate.
Dated this __________ day of ____________ 2019

Total Number of Shares held in:

CDP Register
Signature(s) of member(s) Register of Members
or Common Seal of Corporate Shareholder
IMPORTANT: PLEASE READ NOTES OVERLEAF.
Notes:
1. Please insert the total number of shares held by you. If you have shares entered against your name in the Depository Register (as defined in Section 81SF of the
Securities and Futures Act, Chapter 289 of Singapore), you should insert that number of shares. If you have shares registered in your name in the Register of Members
of the Company, you should insert that number of shares. If you have shares entered against your name in the Depository Register and shares registered in your name
in the Register of Members, you should insert the aggregate number of shares. If no number is inserted, this form of proxy will be deemed to relate to all the shares held
by you.
2. A member of the Company (other than a Relevant Intermediary*), entitled to attend and vote at a meeting of the Company is entitled to appoint not more than two
proxies to attend and vote in his stead. A proxy need not be a member of the Company.
3. The instrument appointing a proxy or proxies must be deposited at the Company's Registered Office at 13 Woodlands Link, Singapore 738725 not less than 72 hours
before the time set for the meeting.
4. Where a member (other than a Relevant Intermediary*) appoints two proxies, the appointments shall be invalid unless he specifies the proportion of his shareholding
(expressed as a percentage of the whole) to be represented by each proxy.
5. A Relevant Intermediary* may appoint more than two proxies, but each proxy must be appointed to exercise the rights attached to a different share or shares held by
him (which number or class of shares shall be specified).
6. Subject to note 9, completion and return of this instrument appointing a proxy shall not preclude a member from attending and voting at the Meeting. Any appointment
of a proxy or proxies shall be deemed to be revoked if a member attends the Meeting in person, and in such event, the Company reserves the right to refuse to admit
any person or persons appointed under the instrument of proxy to the Meeting.
7. The instrument appointing a proxy or proxies must be under the hand of the appointor or of his attorney duly authorised in writing. Where the instrument appointing
a proxy or proxies is executed by a corporation, it must be executed under its common seal or under the hand of its officer or attorney duly authorised. Where an
instrument appointing a proxy or proxies is signed on behalf of the appointor by an attorney, the power of attorney (or other authority) or a duly certified copy thereof
must (failing previous registration with the Company) be lodged with the instrument of proxy, failing which the instrument may be treated as invalid.
8. A corporation which is a member may authorise by resolution of its directors or other governing body such person as it thinks fit to act as its representative at the
Meeting, in accordance with Section 179 of the Companies Act, Cap. 50 and the person so authorised shall upon production of a copy of such resolution certified by a
director of the corporation to be a true copy, be entitled to exercise the powers on behalf of the corporation so represented as the corporation could exercise in person
if it were an individual.
9. An investor who hold shares under the Supplementary Retirement Scheme (“SRS Investor”) (as may applicable) may attend and cast his vote(s) at the Meeting in person.
SRS Investors who are unable to attend the Meeting but would like to vote, may inform their SRS Approved Nominees to appoint the Chairman of the Meeting to act as
his proxy, in which case, the SRS Investors shall be precluded from attending the Meeting.
* A Relevant Intermediary is:
(a) a banking corporation licensed under the Banking Act (Cap. 19) or a wholly-owned subsidiary of such a banking corporation, whose business includes the
provision of nominee services and who holds shares in that capacity; or
(b) a person holding a capital markets services licence to provide custodial services for securities under the Securities and Futures Act (Cap. 289) and who holds
shares in that capacity; or
(c) the Central Provident Fund Board established by the Central Provident Fund Act (Cap. 36), in respect of shares purchased under the subsidiary legislation made
under that Act providing for the making of investments from the contributions and interest standing to the credit of members of the Central Provident Fund, if
the Board holds those shares in the capacity of an intermediary pursuant to or in accordance with that subsidiary legislation.
General:
The Company shall be entitled to reject the instrument appointing a proxy or proxies if it is incomplete, improperly completed or illegible or where the true intentions of the
appointor are not ascertainable from the instructions of the appointor specified in the instrument appointing a proxy or proxies. In addition, in the case of shares entered in
the Depository Register, the Company may reject any instrument appointing a proxy or proxies lodged if the member, being the appointor, is not shown to have shares entered
against his name in the Depository Register as at 72 hours before the time appointed for holding the Annual General Meeting, as certified by The Central Depository (Pte)
Limited to the Company.
Personal Data Privacy:
By submitting an instrument appointing a proxy(ies) and/or representative(s), the member accepts and agrees to the personal data privacy terms set out in the Notice of Annual
General Meeting dated 14 January 2019.
KIMLY LIMITED
(Company Registration No.: 201613903R)
(Incorporated in the Republic of Singapore on 23 May 2016)
13 Woodlands Link
Singapore 738725
www.kimlygroup.sg

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1

Preserving Our Heritage

15 Media and Investor Engagement

Kimly Limited (the “Company”) was listed on Catalist

This Annual Report has been prepared by the Company

This Annual Report has not been examined or approved

The contact person for the Sponsor is Mr Joseph Au,

Kimly Limited (the “Company” or “Kimly”, and together with

While keeping to the heritage of a traditional coffee shop

The Company was successfully listed on Catalist of the SGX-ST

Outlet Management Division

Under our Outlet Management Division,

With our proven and established track

Food Retail Division

Our Extensive Network

WEST NORTH SOUTH/CENTRAL EAST

“We therefore believe that

On behalf of the Board of Directors (the “Board”), I am pleased

Progressing with Time

With Singapore’s steady economy and growing population,

Net Attributable Profit (FY2018)

Revenue Growth (FY2018)

We also partnered Pioneer Citizen’s Consultative Committee,

本集团位于武吉巴督的首家“高效”咖啡店于2018财年第 今年另一个亮点是从Sapporo Lion (S） Pte. Ltd.收购日

团在 过去几 年中逐 步推出数码 我们的资产负债表保持健康，本

前瞻策略 简 称“ P O S ”）系 统 等 一系列 有成 效 的 举 措。我 们 最

BOA R D O F D I REC TORS

As a founding shareholder of the Group, investment opportunities to promote the growth

Mr Chia Cher Khiang is responsible Operations Manager of Chai Chee Noodle

MED IA A ND I N V ES TOR EN GAG EMEN T

On 18 December 2018, three

Profit for the year (S$’M) Revenue Breakdown by Business Segment

FINAN CIA L REV I EW

Review of the Group’s Financial Performance

KIMLY L I M I T ED A NNUA L R E PORT 2 0 1 8

FINA N CIA L REVI EW

Current Assets Statement of Cash Flow

KIMLY L I M I T ED A NNUA L R E PORT 2 0 1 8

COR P O R ATE I N FORM AT I ON

Registered Office Remuneration Committee

13 Woodlands Link Mr Lim Teck Chai Danny (Chairman)

Mr Lim Hee Liat Independent Auditor

Mr Wee Tian Chwee Jeffrey Share Registrar

Mr Wee Tian Chwee Jeffrey (Chairman) Joint Company Secretaries

Mr Ter Kim Cheu (Chairman)

KIMLY L I M I T ED A NNUA L R E PORT 2 0 1 8

21 Executive Chairman’s Message 33 Protecting the Environment

22 Kimly’s Sustainability Story 33 Energy and Emissions Management

24 Organisation Profile 34 Water Conservation

25 Ethics and Integrity 34 Effluents and Waste Management

26 Governance and Statement of the Board 34 Environmental Compliance

27 Stakeholder Engagement 35 Contributions to Our Community

28 Reporting Practice 35 Pioneering Innovation

29 Our Customers 36 Creating Employment and Job Opportunities

29 Food Health and Safety 36 Preserving Our Hawker Culture

30 Customer Safety 36 Corporate Social Responsibility

31 Our People 37 Socioeconomic Compliance

31 Occupational Health and Safety 38 SGX Five Primary Components Index

32 Employee Diversity 39 GRI Standards Content Index

32 Training and Education

EXECUTIVE CHAIRMAN’S MESSAGE

SU S TA IN A BILT Y REP ORT

KIMLY’S SUSTAINABILITY STORY

本集团位于武吉巴督的首家“高效”咖啡店于2018财年第今年另一个亮点是从Sapporo Lion (S） Pte. Ltd.收购日

团在过去几年中逐步推出数码我们的资产负债表保持健康，本

前瞻策略简称“ P O S ”）系统等一系列有成效的举措。我们最