PETALING JAYA: SD Guthrie Bhd reported net profit exceeding RM1.5 billion for the six months ended June 30, 2026 (H1’26), marking a year-on-year increase of 44%.
The group, in a statement today, said the robust performance was driven by higher profit from its downstream segment and continued strong earnings from the industrial development segment, demonstrating the resilience of the hroup’s diversified business model.
For Q2’26, Guthrie’s net profit rose to RM987 million, almost double the RM505 million recorded in the previous corresponding period. The strong performance was underpinned by a significant contribution from the industrial development segment which delivered a profit before interest and tax (PBIT) of RM529 million, alongside an improved showing by SD Guthrie International (SDGI), the group’s downstream segment, where PBIT rose 8% YoY to RM136 million.
This helped to offset the 5% YoY decline in the PBIT of the upstream segment which was partly cushioned by stronger average realised crude palm oil (CPO) and palm kernel prices at RM4,283 per metric ton (MT) and RM3,436 per MT respectively.
Chairman Tan Sri Dr Nik Norzrul Thani Nik Hassan Thani said: “Despite challenging economic and geopolitical uncertainties, Guthrie’s strategic and disciplined execution in the first half of the year has resulted in encouraging results. The new leadership’s ability to maintain the growth momentum set from the start of the year will enable Guthrie to deliver the right results and value to our shareholders.”
President and group CEO Mohd Haris Mohd Arshad said: “Guthrie’s solid first half performance, coupled with the continued strong earnings contribution underscores the progress of the group’s transformation into a more diversified and future- ready organisation beyond our traditional plantation base. While we expand our industrial development and renewable energy businesses through strategic partnerships, we are strengthening the group’s earnings resilience, creating new growth engines and positioning Guthrie for sustainable long-term value creation.”
In the near to medium term, tightening global supply and resilient demand are expected to drive and elevate CPO prices. Supply-side pressures are likely to intensify with the anticipated emergence of El Nino conditions towards the end of the year, while demand will be underpinned by the implementation of Indonesia’s B50 biodiesel mandate and firm crude oil prices amid renewed geopolitical tensions.
Against this backdrop, Guthrie’s upstream segment will maintain its focus on operational excellence and climate risk management to mitigate the impact of adverse weather conditions.
The downstream business remains focused on building a balanced portfolio through customer and market diversification, while leveraging the group’s scale to drive cost optimisation, strengthen cost competitiveness, and enhance resilience amid a challenging operating environment.
The industrial development segment is expected to strengthen its contribution to the group’s earnings, supporting Guthrie’s transformation beyond plantations through greater earnings resilience and diversification. Meanwhile, the renewable energy segment will continue to lay the foundation for long-term sustainable growth.
Overall, the group said it remains positive on its FY2026 outlook, supported by favourable market dynamics, operational resilience, and strong execution momentum in its industrial development segment.
At the same time, the group will continue to navigate market andweather-related uncertainties while maintaining disciplined execution across its businesses
