DXN 1Q net profit dragged down by forex losses


KUALA LUMPUR: DXN Holdings Bhd’s net profit fell by 13.6 per cent to RM73.91 million in the first quarter ended May 31, 2025 (1Q FY2026) from RM85.56 million in the same period last year due to foreign exchange (forex) losses stemming from the strengthening of the ringgit.

Revenue, however, edged up 0.8 per cent to RM479.06 million against RM475.05 million previously, the health and wellness consumer product manufacturer said.

"This modest growth was primarily driven by continued sales expansion in local currencies, which was partially offset by unfavourable currency translation effects arising from depreciation of the overseas market currencies against the ringgit,” it said in a filing with Bursa Malaysia today.

DXN said the board has declared a first interim dividend of 0.9 sen per share for 1Q FY2026, involving a payout of RM44.75 million, which will be paid on Aug 29, 2025. This represents a 60.5 per cent payout ratio.

In a separate statement, DXN said the group remains positive on its FY2026 prospects despite forex volatility and broader macroeconomics headwinds.

"DXN is investing in new manufacturing capacity in Peru and Morocco as well as in Kedah and Kelantan. These developments will enable faster market responsiveness, reduce logistics complexity and support more sustainable, localised production.

"They are part of DXN’s long-term strategy to strengthen its global supply network while improving both cost and carbon efficiency,” it added. - Bernama 

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