Malaysian businessman Vincent Tan’s company, Berjaya Food, which runs the Starbucks chain in Malaysia, has reported a record financial loss of 292 million ringgit (around 69 million US dollars) for the year ending in June 2025.
The company explained that its revenue dropped sharply by 64%, falling to 477 million ringgit. This decline was mainly due to ongoing boycotts connected to the Middle East conflict, which led to fewer customers visiting Starbucks outlets across the country.
As a result of these challenges, the number of Starbucks stores in Malaysia has gone down from 408 in June 2024 to 320 in June 2025. The reduction shows how seriously the drop in sales has affected operations, forcing the company to shut down many outlets.
Despite the heavy losses, Berjaya Food has announced that it is now focusing on diversifying its business, both by exploring opportunities in overseas markets and by expanding into more local ventures. At the same time, the company is working on consolidating its operations within Malaysia in order to strengthen its position and try to stabilize its financial performance.
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