Sime Darby group CEO Datuk Jeffri Salim Davidson
KUALA LUMPUR: Sime Darby Bhd
recorded a net profit of RM2.06bil in its 2025 financial year (FY25) with a 63% increase in earnings from continuing operations.
In a statement, the group said net profit from continuing operations came to RM2.05bil, largely owing to the inclusion of Sime UMW's full-year results and gain from the disposal of MVV land. Excluding these one-off items, the group registered a core net profit of RM1.17bil during the year.
In the previous year, the group had benefited from a one-off gain of RM2bil from the sale of its healthcare business, contributing to a net profit of RM3.31bil.
The group reported revenue of RM70.06bil in FY25, up 4.4% from RM67.13bil in the previous year.
Sime Darby group CEO Datuk Jeffri Salim Davidson said it had been a challenging year with multiple headwinds across key markets, including China, where there is slowing growth and tougher competition in the automotive sector.
However, he noted that its EV brand, BYD, has benefited from rising EV sales in Singapore.
There was also improved profitability in Tractors Malaysia, which retails and maintains Caterpillar industrial equipment, due to higher parts sales with better margins and data centre projects.
The group's industrial Australasia operations were impacted by a parts price reduction and a weaker Australian dollar, but remains the division's biggest contributor and is well positioned to benefit from Australia's growing resources industry.
“Despite tough market conditions, our performance has remained stable, demonstrating the resilience of our portfolio and the strength in our geographical diversity," he added.
In the fourth quarter of the year (4QFY25), Sime Darby's net profit was RM763mil, as compared to RM89mil in the year-ago quarter, mainly owing to a gain from the sale of MVV land, higher contributions from UMW and lower borrowing costs.
Excluding one-off items, the group said quarterly core net profit was 13% lower at RM334mil.
Quarterly revenue dipped to RM17.76mil from RM18.79mil in the comparative quarter in FY24.
The board declared a second interim dividend of 10 sen per share, with ex-date and Sept 12, 2025, and payment on Sept 30, 2025.
