2014 was a challenging year. After consecutive years of growth, Challenger saw its revenues and net profits declined by 8% and 13%. They also made the painful decision of closing down all 3 outlets in Malaysia and focusing back to being a pure SG retailer. Over the last 2 years, I have noticed their aggressive expansion of in-house brand Valore. However it turned out to be a big failure and Valore concept stores will re-converted into Challenger Stores. I previously highlighted that this segment could be worth around 20% of their revenues base on my own estimations. Looking at the first table, ROE% has been on a constant decline since 2010. From a high of 40% ROE, it only came in at 23% this year... close to half of what it used to be producing. This is due to the intense competitive retail landscape in singapore, along with higher rentals ......