KLK posts higher FY25 net profit of RM817.27mil


KUALA LUMPUR: Kuala Lumpur Kepong Bhd’s (KLK) net profit for the financial year ended Sept 30, 2025 (FY2025), rose to RM817.27 million from RM590.96 million last year, driven by higher profit in the plantation and property segments.

Revenue for FY2025 increased to RM25.01 billion from RM22.27 billion previously.

For the fourth quarter (4Q 2025), net profit rose to RM95.95 million from RM6.76 million, while revenue also increased to RM6.30 billion from RM5.67 billion in the previous corresponding quarter.

In a Bursa Malaysia filing today, the company said its plantation segment delivered a strong performance, with pre-tax profit rising 41 per cent to RM2.3 billion from RM1.6 billion in FY2024, underpinned by higher selling prices, slightly improved fresh fruit bunch yields, and ongoing cost-optimisation efforts.

"The group remains focused on yield enhancement, operational resilience and strengthening supply chain traceability to meet evolving regulatory requirements,” it said.

KLK said the manufacturing segment continued to face a challenging operating environment.

"The oleochemical sub-segment was affected by margin pressure, forex volatility and a tough environment in the European operations.

"The commissioning of new oleochemical facilities also incurred start-up and commissioning costs, which are not expected to recur as utilisation improves,” it said.

In the midstream business, refining margins remained tight due to competitive selling prices and elevated feedstock costs.

"Recognising the structural pressure in the bulk refining space, the group is consciously repositioning its portfolio towards higher value-added downstream applications over the longer term.

"In this regard, the group has entered into a strategic joint venture with AAK AB to develop a specialty oils and fats refinery in Pasir Gudang, Johor, combining KLK’s integrated and sustainable palm oil platform with AAK’s formulation expertise,” it said.

KLK added that with major capital projects completed and capital spending normalised, the group will focus on optimising utilisation and improving returns from recent investments.

"Backed by strong plantation cash flows and a resilient balance sheet, the group remains well positioned to navigate the current challenging environment and deliver long-term sustainable growth across all segments.

"All things considered, the group remains confident of a better performance in FY2026,” it said.

The company added that the directors have authorised a final single-tier dividend of 40 sen per share for FY2025, which will be paid to shareholders on Feb 10, 2026. - Bernama 

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