Kuala Lumpur, 7 November 2025 – Fraser & Neave Holdings Berhad (F&NHB) ended its financial year on a strong note, delivering a resilient performance for FY2025 despite global volatility, fluctuating commodity prices, and regional challenges. The Group reported full-year revenue of RM5.20 billion, marginally lower than FY2024’s RM5.25 billion, while maintaining profit growth momentum through operational discipline, lower input costs, and steady demand across its Food & Beverage (F&B) businesses.
Operating profit rose 5.1% year-on-year to RM745.5 million, and profit before tax increased 4.8% to RM730.7 million. However, profit after tax eased 5.4% to RM514.7 million, mainly due to higher income taxes from F&N Thailand following the expiry of promotional privileges, and initial costs associated with the Group’s large-scale dairy operations.
The Board proposed a final single-tier dividend of 35.0 sen per share (FY2024: 33.0 sen), amounting to RM128.4 million, bringing total dividends for the year to 65.0 sen per share or RM238.4 million, reflecting the Group’s continued commitment to shareholder value.
Fourth Quarter FY2025: Operating Strength Amid Challenges
For the quarter ended 30 September 2025, F&NHB recorded revenue of RM1.23 billion, slightly below the RM1.26 billion posted in Q4 FY2024, largely due to softer performance in Thailand and Indochina.
Despite this, Group operating profit surged 45% year-on-year to RM173.8 million, supported by lower raw-material costs and improved manufacturing efficiencies.
- F&B Malaysia achieved 9.1% revenue growth in Q4, driven by robust export sales and strong trade execution across all channels.
- F&B Indochina, however, saw a 15.4% drop in quarterly revenue, impacted by reduced tourism activity, flooding in northern Thailand, and export disruptions to Cambodia and Myanmar.
Full-Year Performance: Resilience Across Core Markets
- F&B Malaysia posted higher FY2025 revenue of RM2.96 billion, supported by stronger exports and sustained domestic demand.
- F&B Indochina’s revenue eased 2.6% due to temporary headwinds but maintained profitability through efficiency gains.
- Operating profit contributions rose in Indochina to RM474.6 million (FY2024: RM449.9 million), while Malaysia’s operations reported RM280.3 million (FY2024: RM305.4 million).
Chief Executive Officer Lim Yew Hoe attributed the performance to “the Group’s agility and resilience in navigating challenging market conditions while staying focused on long-term value creation.”
Strategic Developments: Investing for Growth and Sustainability
The Group’s strategic investments in upstream integration and infrastructure expansion are nearing key milestones:
- F&N AgriValley, the Group’s 2,000-acre integrated dairy hub in Pasir Besar, is nearing completion, with commercial milk production scheduled for Q1 FY2026. The farm now houses over 4,000 cattle, with an additional 2,500 heifers arriving from Chile in November.
- Cropping activities are fully underway, with corn and sorghum cultivation supporting feed self-sufficiency and sustainability.
- The new beverage plant in Butterworth, Penang, began operations in August 2025, producing carbonated soft drinks and drinking water for northern markets, reducing transportation emissions and improving supply-chain efficiency.
- In Cambodia, development of the new dairy manufacturing facility in Kandal is progressing according to plan, with operations expected to begin in early 2026.
Lim said the Group remains committed to its sustainability and ESG goals, highlighting that F&N AgriValley operates as one of the region’s lowest carbon-footprint dairy farms. The Group also achieved 100% Certified Sustainable Palm Oil usage and contributed over 20,000 kg of food to community programmes in FY2025, earning the Gold Award for ESG Excellence at The Edge ESG Awards 2025.
Innovation and Product Development
F&NHB continued to expand its portfolio to align with health and wellness trends, introducing:
- Magnolia 100% Fresh UHT Milk,
- NutriWell Plant-Based Beverages,
- F&N Sparkling Zero and 100PLUS Power Peach, and
- OYOSHI Chakulza Sparkling Green Tea targeting younger, health-conscious consumers.
These innovations underscore F&NHB’s strategy to evolve with consumer lifestyles and enhance its leadership in beverages and dairy products.
Outlook: 60 Years of Growth, Poised for the Future
As F&NHB approaches its 60th anniversary in East Malaysia in 2026, the Group plans to strengthen its regional footprint, operating four manufacturing plants and seven sales offices across Sabah and Sarawak.
Lim emphasised the Group’s long-term vision:
“We remain committed to sustainable growth through strategic investments that broaden our consumer reach, enhance food security, and reduce environmental impact. Our integrated dairy project and new manufacturing capacities position us for future profitability while strengthening Malaysia’s dairy self-sufficiency.”
