KUALA LUMPUR (Nov 18): The absence of government egg subsidies more than halved Teo Seng Capital Bhd’s (KL:TEOSENG) net profit for the third quarter ended Sept 30, 2025 (3QFY2025).

Net profit fell to RM25.35 million for the quarter, compared with RM58.05 million a year earlier, despite higher revenue, the egg producer's bourse filing showed.

Other income dropped to RM13.05 million from RM43.49 million after the egg subsidy was fully removed on Aug 1, 2025, following an earlier cut from 10 sen to five sen per egg on May 1.

Quarterly revenue, however, rose 5.9% to RM201.55 million from RM190.31 million, as stronger sales volume offset lower average selling prices. No dividend was declared for the period.

For the nine months ended Sept 30, net profit slipped 8.4% to RM108.57 million from RM118.46 million, while revenue declined 4.2% to RM541.49 million from RM565.35 million.

Looking ahead, Teo Seng said that with sustainable productivity and stable feed costs, and barring unforeseen circumstances, the group expects its financial performance for the remaining three months of FY2025 to remain satisfactory.

Teo Seng shares closed two sen or 1.9% lower at RM1.04 on Tuesday, valuing the group at RM624 million market capitalisation. Year to date, the stock has declined 5.5%.