PETALING JAYA: PPB Group Bhd
is expected to post flattish earnings quarter-on-quarter (q-o-q) at between RM340mil and RM370mil for the second quarter of this year (2Q25).
This is expected to be underpinned by steady contributions from its core grains and agribusiness segment, as well as associate share of profits.
The group is slated to release its 2Q25 results by the end of August.
For 2Q25, UOB Kay Hian Research (UOBKH Research) said PPB’s grain and agribusiness segment’s performance is expected to remain stable despite the fluid external trade environment, supported by relatively benign weather conditions and moderate volatility in agri-commodity prices.
UOBKH Research said, in consumer products, PPB has been contending with operating costs rising at a relatively quicker rate and has been merely breaking even at the earnings before interest and tax (Ebit) level in recent quarters, despite seeing a steady uptick in revenue.
“For 2Q25, however, we expect operating margins to improve slightly, with costs of goods sold seen coming down slightly while potentially benefitting from the stronger ringgit versus the US dollar,” the research house noted.
As for the film exhibition and distribution segment, UOBKH Research expects the segment to post a positive single-digit Ebit contribution in 2Q25, aided by higher expected cinema revenue due to more releases compared with 1Q25 and on a year-on-year (y-o-y) basis.
