Link: https://links.sgx.com/1.0.0/corporate-announcements/ZF9WXDCZ7LM9ELVS/21e0faecbaba7faa45cea3ef388221053d08299935f79da0cb2054d81d5ad950

Summary:

• Revenue grew 25% to RM10.18 million, mainly from higher logging activities in the first half of FY2025; second-half sales dropped sharply due to delayed production caused by adverse market and weather conditions.

• Net loss after tax widened to RM3.5 million (vs RM2.7 million last year), reflecting higher finance expenses, reduced fair value gains on biological assets, and increased distribution costs.

• Gross profit up 22% to RM3.24 million; gross margin remained at 32%.

• Fair value gain on biological assets dropped by 68% as market assumptions were revised conservatively.

• Cash and cash equivalents fell to RM2.44 million from RM8.91 million, mainly due to investing in plantation infrastructure and biological assets.

• Bank borrowings rose to RM21.85 million; company remains focused on cost control and improving operational efficiency.

• No dividend declared for FY2025, continuing last year’s practice, due to accumulated losses.

• Outlook: Management expects ongoing industry and trade headwinds—Sabah’s timber exports fell 24% in value in 1H2025—but maintains a long-term focus on sustainable forestry resources.