Soup Restaurant operator reports loss of S$673,000 in H1 2026

Restaurant operator Soup Holdings, which owns and operates Soup Restaurant, said its revenue for the financial period ended Jun. 30 dipped slightly by S$0.1 million to S$19.5 million.

The group, however, swung into a loss of S$673,000, compared with a profit of S$224,000 a year earlier, amid higher operating costs.

Closure of two outlets

According to the group, revenue from its restaurant operations was affected by both outlet openings and closures during the financial period.

Though sales from existing outlets rose by S$0.6 million and the opening of two new outlets contributed to a further S$1.4 million in revenue, the gains were offset by the closure of two outlets due to relocation and lease expiry.

Purchases and other consumables increased by 0.9 percentage points to account for 21.1 per cent of revenue, mainly due to higher raw material costs during the seasonal period.

Employee benefits expense also increased by S$0.3 million.

This was mainly due to a net increase of S$0.2 million arising from the opening and closure of outlets and a central kitchen, as well as S$0.1 million in higher staff benefits at existing outlets.

Its other expenses also rose by S$0.4 million, mainly due to a one-off termination fee payable to a landlord after the group decided not to proceed with the lease for a proposed outlet.

The company said that move was part of its ongoing efforts to "optimise its business operations and align its resources with its strategic priorities, including rationalising its outlet portfolio and enhancing overall operational efficiency".

F&B industry remains competitive

The group said Singapore’s food and beverage (F&B) industry remains highly competitive, with the continued entry of local and foreign operators, rising operating costs, manpower constraints and changing consumer preferences adding to the challenges facing the sector.

Regional retail dynamics are also evolving amid cross-border infrastructure developments.

Citing recent surveys, the group highlighted the upcoming completion of the Johor Bahru-Singapore Rapid Transit System (RTS) Link, saying it could possibly affect cross-border travel patterns and spending on retail and F&B services in both markets.

Against this backdrop, Soup Holdings said it has restructured its leadership team to sharpen its strategic focus and improve operational efficiency.

The group also plans to refresh its brand positioning and refine its concepts to better cater to its target customer segments and changing consumer preferences.

Additionally, the group said it is stepping up efforts to manage costs, streamline procurement, optimise manpower deployment, improve quality standards and strengthen customer engagement.

Over the next 12 months, Soup Holdings said it will focus on maintaining cost discipline, refreshing its brands and improving operational efficiency, barring unforeseen circumstances.

These efforts are aimed at stabilising its performance and strengthening its competitiveness amid a challenging market environment.