Oriental Holdings' 1Q net profit falls 72% on lower operating profit, declares 20 sen dividend

• The hotels and resorts segment experienced a 17.9% decline in revenue, while the investment holding segment posted an 8.3% decrease.

KUALA LUMPUR (May 28): Oriental Holdings Bhd (KL:ORIENT) has reported a 71.56% year-on-year (y-o-y) decline in net profit for the first quarter due to reduced operating profit across its business segments except healthcare.

The group posted a net profit of RM90.86 million for the quarter ended March 31, 2025 (1QFY2025), compared to RM319.48 million in the same period last year, according a bourse filing on Wednesday.

Earnings per share fell to 14.65 sen from 51.50 sen.

Quarterly revenue rose 18.48% y-o-y to RM1.41 billion from RM1.19 billion due to stronger contributions from its plantation segment, driven by higher commodity prices and increased volumes.

A final dividend of 20 sen per share was declared for the quarter, payable on June 17.

The automotive segment also saw an improved performance, particularly in the retail operations in Singapore.

Oriental Holdings said its investment properties and trading of building material products segment saw revenue decline 14.9% to RM110.6 million, with operating profit dropping to RM0.4 million from RM11.8 million, reflecting the impact of lower sales volume and reduced economies of scale.

The hotels and resorts segment experienced a 17.9% decline in revenue, while the investment holding segment posted an 8.3% decrease.

Meanwhile, the healthcare segment recorded a 5.6% increase in revenue to RM33.9 million, with operating profit rising to RM5.7 million. This was attributed to higher interest income from fund placements, with patient numbers remaining stable.

Looking ahead, Oriental Holdings said it remains focused on enhancing operational efficiency and will continue to explore business opportunities that can complement and strengthen its existing portfolio.

Oriental Holdings’ shares closed one sen or 0.1% higher at RM7.07 on Wednesday, valuing the group at RM4.39 billion. Year to date, the stock has retreated 2.08%.

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