QL Resources reports higher fourth-quarter profit despite pressure from egg subsidy removal
Full-year profit edges down 1% amid weaker performance in the livestock segment
MALAYSIA – QL Resources Bhd recorded a higher net profit for the fourth quarter ended 31 March 2026, supported by stronger earnings from its marine products business, although challenges in its livestock operations continued to weigh on performance.
The Malaysian agro-food group reported net profit of US$25.6 million for the quarter, representing a 21% increase from US$21.1 million in the corresponding period a year earlier, while revenue climbed 4% to US$409 million from US$394 million.
The improved quarterly result was largely linked to better margins in the marine product manufacturing division, which benefited from increased fishing and aquaculture activities together with stable contributions from surimi-based products.
At the same time, the company said lower sales volumes of fishmeal and surimi products limited the extent of gains achieved by the segment during the quarter.
Meanwhile, the integrated livestock farming division, which remains the group’s largest contributor to earnings, recorded a 31% decline in profit before tax despite posting a 3% increase in revenue.
The weaker outcome in the livestock business was attributed to softer performance from layer farming operations in Peninsular Malaysia following lower egg prices and the withdrawal of government egg subsidies.
Although trading volumes of feed raw materials increased during the period, the additional contribution was insufficient to offset the reduction in earnings from egg production activities.
Full-year performance
For the financial year ended 31 March 2026, QL Resources reported net profit of US$101.9 million, down 1% from US$103 million recorded in the previous financial year.
Revenue for the year remained largely unchanged at US$1.59 billion as stronger returns from marine-related operations helped counter weaker results from parts of the livestock business.
The company also proposed a final dividend of approximately US$0.0057 per share, bringing total dividends for FY2026 to about US$0.0113 per share, with total dividend payments amounting to US$20.6 million.
Outlook
Looking ahead, QL Resources said margins in the integrated livestock farming segment are expected to remain under pressure as the industry adjusts to the complete removal of egg subsidies and ongoing production normalisation.
The group added that the marine product manufacturing division is expected to deliver a cautiously positive performance, supported by cost management measures and continued demand from export markets.
QL Resources is a Malaysia-based integrated agro-food company with operations spanning poultry farming, egg production, animal feed distribution, aquaculture, fishing, and marine product manufacturing.
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