KUALA LUMPUR: MSM Malaysia Holdings Bhd’s net loss narrowed to RM29.74 million in the second quarter ended June 30, 2025, from RM32.40 million a year earlier, supported by lower production costs, the sugar refiner said in a Bursa Malaysia filing.
The smaller loss was driven by an 18 per cent reduction in production cost, mainly from lower NY11, the global benchmark futures contract for raw sugar, as well as lower freight charges and foreign exchange costs.
Quarterly revenue slipped 2.4 per cent to RM812.75 million from RM833.08 million previously, as weaker average selling prices in the industrial and export categories offset higher sales volume.
No dividend was declared for the quarter.
For the first half of 2025, MSM swung to a net loss of RM26.02 million compared with a net profit of RM9.32 million in the same period last year. Revenue fell 10.2 per cent to RM1.56 billion from RM1.74 billion.
Acting group chief executive officer Hasni Ahmad said the outlook remained difficult.
“The sugar industry is expected to remain challenging, driven by sustained high input costs, volatile raw sugar prices due to fluctuating global production volumes. However, domestic sugar demand is expected to peak towards year-end in line with festive consumption,” he said.
“The group continues to reinforce our domestic footprint and mitigate export pricing challenges albeit steady demand, and exploit value-added products market opportunities. We are streamlining and optimising our operations to ensure profitability.”
MSM said it was also working closely with the government through the Joint-Sugar Industry platform to finalise a sustainable pricing framework and implement import controls on refined sugar.
It described the measures as critical to safeguard food security and ensure the industry’s long-term viability.
© New Straits Times Press (M) Bhd
