Kuala Lumpur, August 25, 2025 – Hextar Global Bhd reported a 16.9% decline in net profit for the second quarter ended 30 June 2025, as softened demand in its Specialty Chemicals segment weighed on earnings. Profit after tax (PAT) fell to RM 15.93 million, down from RM 19.16 million a year earlier.
Revenue for the quarter also contracted sharply—dropping 16.7% year-on-year to RM 177.5 million, from RM 213 million in 2QFY24. The decline was largely attributable to the absence of oil and gas-related specialty chemical deliveries that had bolstered prior-year performance. However, this shortfall was partially mitigated by a stronger showing in the Agriculture segment, which lifted revenue by RM 11.3 million and helped soften the sequential slowdown.
For the first half of 2025, Hextar Global’s revenue fell to RM 416.1 million, down 6.5% from RM 445.2 million in the same period last year. Net profit for 1H25 similarly slipped 6.1% to RM 29.4 million, compared to RM 31.3 million in 1H24.
Despite a challenging quarter, Group Managing Director Madam Lee Chooi Keng expressed confidence in the company’s trajectory for the second half of the year. She pointed to anticipated deliveries in the Specialty Chemicals segment, seasonal lift from the fruits business—especially during the durian season—and sustained momentum in the Agriculture segment as key drivers for stronger performance ahead.
Aligning with its shareholder rewards policy, Hextar declared an interim single-tier dividend of 0.5 sen per share, totaling approximately RM 19.4 million. The dividend is scheduled for payment on October 3, 2025, with entitlement on September 12, 2025.
Looking Ahead: While Hextar Global grappled with headwinds in specialty chemicals, the resilience of its agriculture business and the cyclical upswing in its fruits segment offer a constructive backdrop. Success in securing large specialty chemicals deliveries—and capitalizing on durian demand—could reinvigorate revenue growth. The dividend declaration further underscores management’s commitment to shareholder returns even amid cyclicality.
