This article first appeared in The Edge Malaysia Weekly on June 8, 2026 - June 14, 2026

The appointment of Datuk Kuok Meng Xiong as group managing director of PPB Group Bhd (KL:PPB) is expected to usher in a new era for the diversified agribusiness group.

The move is seen as a sign that the Kuok Group — the vehicle of Malaysia’s richest man Robert Kuok Hock Nien — is taking a firmer grip on PPB to address the group’s underperformance.

PPB has been relying on dividends from its 18.8%-owned, Singapore-listed associate Wilmar International Ltd to support its earnings. For some time, PPB’s stake in Wilmar has been seen as an investment gem for the group. 

However, with Wilmar’s profitability weighed down by an alleged bribery scandal in Indonesia, that very same gem is now being viewed as a drag. PPB reported a net loss of RM199.55 million — its first quarterly loss in nearly a decade — for the third quarter ended Sept 30, 2025 (3QFY2025).

In the most recent quarter ended March 31, 2026 (1QFY2026), PPB’s net profit fell 37.3% year on year to RM234.02 million, due to a 31% decline in contributions from Wilmar, coupled with a 53% drop in core segment profits.

Last September, the Indonesian Supreme Court overturned the acquittal of Wilmar, Permata Hijau Group and Musim Mas Group by the Central Jakarta Court on bribery charges involving export permits issued between July and December 2021, during a cooking oil shortage in Indonesia.

The ruling meant that Wilmar had to forfeit an IDR11.88 trillion (about RM3.1 billion at the time) security deposit that had been paid to the state pending the Supreme Court’s decision.

Last month, Indonesian media reported that the country’s authorities were investigating several crude palm oil exporters for suspected under-invoicing and transfer-pricing practices. Wilmar is said to be among the companies under investigation.

Apart from the issues surrounding Wilmar, PPB also needs to revitalise its core businesses.

Lower sales in its flour and feed subsegments weighed on the performance of its grains and agribusiness segment in 1QFY2026 while its film exhibition and distribution business recorded a larger loss during the quarter.

After 14 years under the stewardship of the capable Lim Soon Huat, PPB is entering a new era under Kuok’s leadership. Can he resolve the issues plaguing the group and steer it back onto a stronger growth trajectory?

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