KUALA LUMPUR (Nov 7): Fraser & Neave Holdings Bhd (KL:F&N) lifted its dividend payment after reporting a 35% rise in net profit in the recently ended quarter as lower input costs offset lower sales.

The company is proposing a final dividend of 35 sen per share, or a distribution of RM128.4 million, to shareholders at an entitlement date to be determined later. That’s an increase from 33 sen per share in the same quarter last year.

Net profit for the three months ended Sept 30, 2025 (4QFY2025) was RM114.29 million, or 31.2 sen per share, according to an exchange filing. Revenue for the quarter slipped 2.3% to RM1.23 billion.

Sales were uneven across markets. In Malaysia, revenue rose from trade and marketing initiatives, stronger performance across all sales channels, and higher export sales. In contrast, revenue at its Indochina operations fell 15.4%, dragged by weaker tourism, flooding in parts of Thailand, and export disruptions to Cambodia and Myanmar.

Looking ahead, chief executive officer Lim Yew Hoe said the company remains focused on long-term growth through strategic investments designed to broaden consumer reach while reducing environmental impact.

The company’s AgriValley, a 2,000-acre integrated dairy hub in Pasir Besar, Negeri Sembilan, is nearing completion of its dairy manufacturing plant. Commercial milk production is slated to begin by December, marking a significant step in F&N’s upstream dairy integration.

The farm currently houses more than 4,000 cattle, including lactating cows, pregnant heifers and calves, in climate-controlled barns. This month, an additional 2,500 pregnant heifers from Chile are expected to arrive, expanding the herd and accelerating production under the Magnolia brand.

Cropping activities are also progressing, with corn silage harvesting underway and development of the second parcel at Bukit Londah on schedule. Sorghum and corn planting are targeted for FY2026 to support feed self-sufficiency.

Regionally, F&N is also advancing its new dairy manufacturing plant in Cambodia. The facility, located in the Suvannaphum Special Economic Zone in Kandal, is on track to begin operations in early 2026.

For the full year, group net profit declined 6.3% to RM508.47 million, while revenue eased 0.9% to RM5.2 billion. Including the latest planned payout, dividends for the year would total 65 sen per share, up from 63 sen in FY2024.

Shares of F&N eased eight sen or 0.3% to close at RM27.60 on Friday ahead of the results announcement, giving the group a market value of RM10.12 billion.