TMK Chemical posts stronger profitability in 4Q


TMK Chemical Bhd executive director managing director Wong Kin Wah.

PETALING JAYA: TMK Chemical Bhd, a leading player in Malaysia's inorganic chemicals market, announced its financial results for the fourth quarter and full year ended Dec 31, 2025 (4QFY2025 and FY2025), demonstrating resilient profitability supported by operational efficiency and gradual recovery in demand.

“For 4QFY2025, the Group posted revenue of RM246.6mil, representing a 13.4% decline from RM284.6mil in the preceding quarter.

“Despite the softer topline performance, profit before tax rose 8.4% quarter-on-quarter to RM34.7mil, reflecting stronger plant utilisation and stable demand across key markets, which supported margin improvement,” it said in a statement.

The company said profit after tax increased 12.5% to RM29.4mil from RM26.1mil in the previous quarter.

TMK’s executive director and managing director Wong Kin Wah said: “The group recorded further improvement in 4QFY2025, underpinned by recovering market demand and enhanced operational execution.

“Improved capacity utilisation contributed to better margins, while regional demand across Malaysia, Singapore and Vietnam continued to align with the recovery in industrial activity.”

As one of the largest industrial chemical suppliers in the region, he said the company’s broad and diversified customer base allows it to mirror overall industrial production trends rather than depend on any single sector, reinforcing earnings resilience across economic cycles.

The group’s expansion plans, including the upcoming Banting Plant 2 - expected to commence operations in 2027 and set to double current chlor-alkali derivatives capacity - are poised to strengthen future revenue streams.

“With the existing plant operating at above 80% utilisation, the additional capacity remains strategically important to support long-term growth.

“Meanwhile, the positive outlook for rare earth processing activities in Malaysia is anticipated to generate additional demand for the group’s products and services,” said the company.

Despite ongoing geopolitical uncertainties, currency volatility and competitive pressures, TMK said its continued emphasis on cost discipline, productivity gains and supply chain resilience positions it well for sustainable performance.

“Barring unforeseen circumstances, TMK remains confident of sustaining its positive momentum into 2026 and 2027.

“The board has approved an interim dividend of 2.8 sen per ordinary share for the financial year ending Dec 31, 2025, to be paid on July 10, 2026.”

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TMK Chemical , chemicals , expansion , geopolitical

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