SENAI: Johor-based wholesaler and distributor of fresh vegetables, food and beverage (F&B) products and other groceries, Farm Price Holdings Bhd posted a revenue of RM60.5 million for the six months (1H) ended June 30, 2025, compared to RM61.3 million in 1H FY24 due to softer market demand for fresh vegetables.
The wholesale segment remained the primary revenue contributor, accounting for 93.7% of total revenue in the 1H of FY25, with the remainder derived from the retail segment.
Geographically, Malaysia contributed 70.3% of total revenue, with Singapore’s portion rising to 29.7% amid continued growth.
Meanwhile, net profit rose to RM5.6 million, a 30.3% year-on-year (YoY) increase from RM4.3 million last year, mainly due to the absence of non-recurrent listing expenses incurred in 1H FY24.
For Q2 FY25, the group recorded revenue of RM30.6 million, while net profit surged to RM3.1 million, marking an 88.6% YoY growth from RM1.7 million in Q2 FY24.
The improvement was attributable to more favourable vegetable sourcing costs, as well as the absence of non-recurring listing expenses mentioned earlier.
Managing director Dr Lawrence Tiong Lee Chian said the company is making steady progress in its regional expansion initiatives.
“Notably, our recently established Sabah distribution centre in February 2025 is gaining traction, and we anticipate a stronger contribution in the coming quarters.
“Meanwhile, the expansion of our centralised distribution centre in Senai (Senai CDC) is progressing as scheduled, with approximately 85% completed, and remains on track for completion by the end of 2025.
“The expansion will nearly double the built-up area from 78,721 square feet to 149,548 square feet, thereby increasing the capacity for value-added services such as prepacked and fresh-cut vegetables to cater to the rising demand from the Singapore market.
“All in all, we remained committed to executing our growth initiatives, including expanding our geographical distribution footprint, capturing the growing Singapore market through the new Senai CDC, enhancing operational efficiency and maintaining competitiveness, while exploring synergistic new investment opportunities for horizontal expansion beyond vegetables.
“Importantly, we believe these efforts will also contribute to the greater cause of strengthening food security in the region,” Lawrence said.
On a quarter-on-quarter (QoQ) basis, the group achieved revenue of RM30.6 million in Q2 FY25, up 2.8% from RM29.8 million in Q1 FY25.
This growth was mainly supported by stronger market demand, with net profit rising 24.5% QoQ to RM3.1 million in Q2 FY25 from RM2.5 million in Q1 FY25, driven by lower average purchase costs during the current quarter.
Farm Price maintained a healthy financial position in the current quarter, supported by a net cash position and net assets per share of RM0.14.
The group also generated a net operating cash flow of RM7.0 million in 1H FY25.