Kuala lumpur: Fraser and Neave Holdings Bhd’s (FNHB) net profit experienced a significant decline, falling to RM84.81 million in the third quarter ended June 30, 2025 (3Q 2025) from RM121.62 million during the same period in 2024. This downturn in profit after tax was attributed to reduced earnings and unrecognised deferred tax assets linked to the current year’s dairy farm losses, the company revealed in a filing with Bursa Malaysia today.

According to BERNAMA News Agency, FNHB also reported a 4.5 percent decrease in revenue, which slipped to RM1.24 billion from the previous RM1.30 billion. This reduction was mainly due to a lower revenue contribution from the food and beverages (F and B) sectors in both Malaysia and Indochina. The company cited cautious consumer sentiment post-festive season and a decrease in tourist arrivals in Thailand as contributing factors.

Despite these challenges, FNHB noted that strong double-digit export growth to other markets helped mitigate the revenue decline, although exports to Cambodia were impaired by the closure of the Thailand-Cambodia border. Looking ahead, FNHB stated that economic conditions across Malaysia and Indochina remain unpredictable, influenced by cautious consumer sentiment, increasing cost pressures, and geopolitical tensions.

In response to the border clashes between Thailand and Cambodia, FNHB has implemented safety protocols and devised alternative export routes to Cambodia, including shipping from Malaysia, to ensure continuous supply. The group emphasized its proactive approach, focusing on refining procurement and sales strategies, as well as prioritizing innovation and healthier product offerings.