Guan Chong Berhad (GCB) Q2 2025 earnings summary

Executive summary

• Q2 revenue rose 74.9% YoY to RM3,886.3m, mainly on higher cocoa-product selling prices; quarterly PBT declined to RM72.4m from RM80.2m, primarily due to higher finance costs.

• H1 revenue was RM8,192.2m; PBT was RM190.5m, broadly level with RM190.5m in H1 2024, while net profit declined to RM142.8m from RM159.0m.

Financial highlights

• Q2 operating profit was RM157.7m vs RM143.4m YoY; finance costs were RM85.9m vs RM63.3m, and net profit was RM48.2m vs RM67.0m.

• H1 operating profit increased to RM370.5m from RM310.5m; finance costs rose to RM181.4m from RM120.6m.

• H1 operating cash flow was negative RM1,098.3m vs positive RM208.6m in H1 2024, reflecting working-capital movements; cash and cash equivalents ended at RM93.2m.

Outlook and guidance

• Cocoa prices are expected to stabilize near term as supply improves gradually and consumer pushback weighs on chocolate demand.

• Priorities include securing cocoa-bean supply, prudently managing working capital, expanding into higher-margin industrial chocolate, and aligning production with market conditions.