KUALA LUMPUR (Oct 21): Ancom Nylex Bhd (KL:ANCOMNY), which produces industrial and agricultural chemicals, has posted a stronger first quarter net profit compared with a year earlier, despite lower sales, thanks to lower costs.

Net profit for the three months ended Aug 31, 2025 (1QFY2026), jumped 51.96% to RM20.07 million from RM13.1 million, according to the group's exchange filing on Tuesday (Oct 21). Revenue fell 13.2% to RM447.36 million from RM515.54 million.

Lower operating costs amid greater operational efficiency lifted profit margins under its core agricultural and industrial chemicals segments. The group's bottom line was also helped by a dip in expenses.

No dividend was declared for the quarter.

Ancom Nylex noted that global trade tensions and political uncertainties may further impact both global and domestic economic forecasts, compounding the difficulty of projecting inflation and export trends if tariff increases persist.

Domestic inflation is forecasted to increase moderately in 2026, but the group noted an ongoing risk that cost pressures may surpass current expectations. “The management shall remain vigilant in light of the difficult operating environment,” it added.

Shares in Ancom Nylex ended 1.5 sen or 1.57% lower at 94 sen, valuing the group at RM1.11 billion.