PETALING JAYA: Bermaz Auto Bhd
’s (BAuto) net profit for its first quarter ended July 31, 2026 (1Q) has surged to RM40.51mil from RM8.28mil in the previous corresponding period, largely due to higher sales volume from its Mazda domestic operations.
In a filing with Bursa Malaysia, BAuto said this was partly offset by lower profitability from its Xpeng domestic operations, as it was impacted by higher promotional activities during the quarter under review.
“The higher group profit before tax was also attributable to improved financial performances from its associated companies, which recorded a share of net profits as compared to a share of losses in the preceding year’s corresponding quarter.”
Moreover, revenue rose to RM553.08mil from RM491.28mil a year earlier, mainly due to higher sales volume from its Mazda domestic operations, in particular the Mazda3, which continued to receive good response from consumers.
“The increase was, however, partly offset by lower sales volume from its Kia domestic operations following the cessation of the distributorship in November 2025 as compared to the preceding financial year corresponding quarter.”
Going forward, BAuto said it expects inflationary pressures, ongoing uncertainties in geopolitical tensions and weaker global growth to continue to impact the overall Malaysian economy.
The company said the continuous influx of Chinese-brand vehicles with their aggressive pricing has created an inventory overhang in the market, resulting in a disorderly pricing environment characterised by continuous discounting.
“Evolving government policies will impact the broader economy and the automotive landscape,” it added.
BAuto elaborated that it has managed to cushion the impact with the launch of new completely-built-up (CBU) models such as the Mazda3 and the Xpeng G6 and X9, which were well received by consumers.
“Upcoming models to be launched are the new CBU Mazda CX5 2.5G and the CBU Mazda CX-80 3.3G mild hybrid electric vehicles, which the group envisages will be well-received by consumers,” the company said.
“Having considered the above, the board is cautious of the changing environment, but remains positive that the group will be able to maintain its competitive position and profitability for the financial year ending April 30, 2027.”
Additionally, BAuto said it had approved and declared a first interim dividend of two sen single-tier dividend per share in respect of financial year ending April 30, 2027.
“The entitlement date has been fixed on Oct 20, 2026, and is payable on Nov 4, 2026,” the company noted.
