Guan Chong Berhad recorded a net profit up fivefold to RM253 million on a RM1.80 billion revenue in the second quarter ended
30 June 2026 (2Q26), compared to RM48.2 million and RM3.89 billion, respectively, in the corresponding quarter last year.
The profit expansion in 2Q26 was anchored by effective management of raw materials purchase and pricing of cocoa ingredients—even as overall revenue adjusted in tandem with lower raw material prices.
Lower finance costs helped in improving the profits in 2Q26 too, declining by 45.4% to RM46.9 million in 2Q26, from RM85.9 million previously, attributed to reduced working capital financing needs for bean procurement in line with lower bean prices. The lower finance costs reflect a 21.6% drop in total borrowings to RM2.50 billion in end 2Q26, from RM3.19 billion as at 31 December 2025.
The Group’s net gearing has improved, declining to 0.93 times in 2Q26, from 1.35 times as at 31 December 2025.
GCB declared its third interim dividend of 2.5 sen per share in respect of the financial year ending 31 December 2026, representing a payout of RM68.5 million.
