Kuala lumpur: Sime Darby Bhd's net profit for the third quarter of the financial year ended March 31, 2026 (3Q FY2026), rose significantly to RM654.00 million from RM193.00 million in the same quarter the previous year. The company's performance was notably boosted by a one-off gain of RM434 million from the sale of land in Malaysia Vision Valley (MVV), a corridor development in Negeri Sembilan, as reported in a filing to Bursa Malaysia.
According to BERNAMA News Agency, the company's quarterly revenue slightly decreased to RM15.75 billion from RM16.31 billion in 3Q FY2025. Excluding one-off items, the core net profit for 3Q FY2026 increased by 55.6 percent to RM263 million, with all three business divisions achieving higher profits. The company attributed its resilience to effective cost management and the stability of its core businesses, including industrial equipment and automotive, amid challenging market conditions.
The UMW division reported a profit before interest and tax of RM196 million, slightly higher than the previous year. While the automotive segment experienced a drop in profit, the lubricants business improved primarily due to inventory adjustments from the previous year. For the nine months ended March 31, 2026 (9M FY2026), net profit rose by 10.9 percent to RM1.44 billion compared to RM1.29 billion, with revenue also improving to RM52.75 billion from RM52.30 billion.
Datuk Jeffri Salim Davidson, the group chief executive officer, emphasized the company's commitment to supporting the national Government-linked Enterprises Activation and Reform Programme (GEAR-uP) agenda. This includes efforts to enhance Malaysian talent, bolster local businesses and suppliers, and contribute to developing globally competitive Malaysian enterprises.
Despite the challenging global economic outlook, with geopolitical tensions affecting supply chains and inflation risks rising, Sime Darby expects subdued business conditions. The motors sector faces challenges from reduced consumer demand and increased competition, although sales in the affordable vehicle segment in Malaysia remain strong. In the industrial sector, medium to long-term demand from the Australian mining industry for the group's equipment and after-sales service is expected to stay robust.
The board projects that the group's core financial performance for the financial year ending June 30, 2026, will align with the financial results of 2025.