The group reported a 52% year-on-year surge in net profit to RM20.1mil.
PETALING JAYA: Ancom Nylex Bhd
believes it must remain vigilant in light of what it described as a difficult business operating environment, stemming from heightened trade tensions and ongoing policy uncertainties.
The chemicals manufacturer said the continued escalation of tariffs and unpredictable trade negotiations may further impact both global and domestic economic forecasts, compounding the difficulty to project inflation and export trends if tariff increases persist.
Releasing its results yesterday for the first quarter ended Aug 31 (1Q26), the group reported a 52% year-on-year (y-o-y) surge in net profit to RM20.1mil, even as revenue fell 13.2% to RM447.4mil.
Ancom Nylex said it saw revenue declines in its investment holding, industrial chemicals, and logistics segments, while the agricultural chemicals and polymer divisions recorded higher turnover – the latter attributed to improved deliveries due to stronger demand.
Segmental profit improvements were registered across the group, while its investment holding division also saw its net loss narrow due to lower operating costs.
Compared to the previous quarter ended May 31, net profit rose 17.6% from RM17.1mil, despite a slight decline in turnover from RM459.4mil. Ancom Nylex attributed the improved margins to strong performance across its segments.
Looking forward, Ancom Nylex said: “Malaysia’s economic growth is expected to remain positive over the next year, with additional progress possible should international conditions stabilise.
“The government’s wage-related initiatives and subsidy rationalisation efforts aim to transform the Malaysian economy, but may contribute to short-term inflationary pressures. While inflation is forecast to increase moderately in 2026, there is an ongoing risk that cost pressures may surpass current expectations.”
It added that it remains committed to exercising prudence in managing the business under these conditions.
Notably, the group declared a dividend of one sen per share for 1Q26.
