Sime Darby Posts RM2.06 Bln Net Profit For FY2025
KUALA LUMPUR, Aug 27 (Bernama) -- Sime Darby Bhd recorded a lower net profit of RM2.06 billion for the financial year ended June 30, 2025 (FY2025), a decrease of 37.7 per cent from the RM3.31 billion last year, due to the absence of a one-off RM2 billion gain from the sale of its healthcare business.
Revenue, however, increased by 4.4 per cent to RM70.06 billion from RM67.13 billion previously, the group said in a Bursa Malaysia filing.
Sime Darby said net profit from its continuing operations increased by 63 per cent to RM2.05 billion, largely due to the inclusion of Sime UMW’s full year results and a gain from the disposal of MVV land.
“Excluding one-off items, the group reported a core net profit of RM1.17 billion for FY2025,” it said.
Sime Darby group chief executive officer Datuk Jeffri Salim Davidson said this has been a rather challenging year, with multiple headwinds across key markets. In China, the group is dealing with slower growth and tougher competition in the automotive sector.
On the bright side, electric vehicle (EV) sales have been on the rise in Singapore, benefitting its number one EV brand BYD, he said.
“Tractors Malaysia which retails and maintains Caterpillar industrial equipment has delivered improved profitability, driven by higher parts sales with better margins and data centre projects,” he said.
Meanwhile, net profit for the company’s fourth quarter (4Q) ended June 30, 2025 was RM763 million from RM89 million in the preceding period, while revenue fell to RM17.76 billion from RM18.79 billion previously.
The higher profit was mainly due to a gain from the sale of MVV land, higher contributions from UMW and lower borrowing costs.
With the business environment now more challenging, the group has taken proactive steps to optimise inventory, reduce costs, streamline operations, improve operating cash flow and strengthen its balance sheet, Jeffri said.
“While there continue to be headwinds, we are in a solid position to maintain our strong market position and drive sustainable growth of the group,” he added.
Sime Darby declared a second interim dividend of 10 sen per share for 4Q FY2025 and this brings the total dividend payout for FY2025 to 14 sen a share or RM954 million.
-- BERNAMA