KUALA LUMPUR (May 19): TSH Resources Bhd (KL:TSH) has reported a 55.8% decline in first-quarter net profit to RM21.29 million from RM48.19 million a year earlier, as the group's palm products business registered lower sales.

The lower earnings were also attributed to a higher operating loss at its other business segments and higher loss contribution from joint ventures, partially offset by higher contribution from an associate, according to the group's bourse filing on Tuesday.

Revenue for the first quarter ended March 31, 2026 (1QFY2026) dropped 25.47% year-on-year to RM205.20 million from RM275.33 million due to the lower palm product sales volumes, along with lower average selling prices of crude palm oil (CPO) and palm kernel.

The group did not recommend any dividend for the quarter.

Looking ahead, TSH said: "While CPO prices in the near term are expected to remain supported by elevated energy costs amid the ongoing US–Iran conflict, the trajectory ahead will depend on the evolution of geopolitical developments."

It added that weather-related risks, including a rising probability of an El Niño event, remain a source of upside risk to outlook.

As at the market close on Tuesday, TSH shares were down three sen or 2.38%, valuing the group at RM1.58 billion.