KUALA LUMPUR: SBH Marine Holdings Bhd continues to make progress in its long-term expansion initiatives, particularly in strengthening its upstream aquaculture capabilities, despite a challenging operating environment.
The vertically integrated frozen seafood producer said its Selinsing Farm development is progressing according to schedule, with 62 shrimp ponds completed and ready for cultivation.
“Construction works for Block G, designed to accommodate 13 additional ponds, commenced during the first quarter of 2026, with infrastructure and pond-shaping works currently underway,” it said.
The group expects the temporary shrimp supply situation to gradually recover by the end of the second quarter or early third quarter of 2026.
At the same time, it is working to improve stocking efficiency at its aquaculture farms, broaden its sourcing network for merchant trading activities and strengthen procurement planning to reduce reliance on external supply fluctuations.
In the first quarter ended March 31 (1Q26), the group slipped into a net loss of RM2.5 mil, or a loss per share of 0.28 sen, compared with a net profit of RM1.17 mil, or earnings per share of 0.13 sen, a year earlier.
The result mainly reflected margin compression from lower premium shrimp processing volumes, softer average selling prices, higher freight-related pressures and a net foreign exchange loss.
Revenue declined to RM39.2 mil from RM47.7 mil in the corresponding quarter last year.
Group managing director Tan Boo Nam said 1Q26 was a challenging quarter for the seafood export industry, impacted by raw material shortages, foreign exchange movements and elevated logistics costs.
Nevertheless, he said these were near-term operating pressures and the group’s strategic focus remains intact.
“The continued progress of Selinsing Farm is important to SBH Marine’s long-term plan to strengthen supply security, improve traceability and support higher contribution from our aquaculture division over time.
“We are also taking a more disciplined approach in managing foreign currency exposure and procurement costs.
“As an export-oriented business, we will continue to explore appropriate treasury tools, including forward foreign exchange contracts where suitable, while aligning our cost structure more closely with sales denominations to better protect margins,” Tan said.
