KUALA LUMPUR (June 22): Johor Corporation’s (JCorp) net profit more than doubled to RM703 million in the financial year ended Dec 31, 2025 (FY2025), driven by stronger performance in its core sectors, particularly wellness and healthcare, and agribusiness.

The state-owned enterprise, in a statement on Monday, said its performance was supported by improved efficiency and better cost control.

Revenue increased 10% to RM7.63 billion from RM6.96 billion a year earlier.

Profit before tax (PBT) was 45% higher at RM1.04 billion for the year.

KPJ Healthcare Bhd (KL:KPJ), under its wellness and healthcare segment, remained the group’s largest revenue contributor, with revenue rising 9% to RM4.26 billion on higher inpatient, outpatient and surgical activities across its hospital network.

The division recorded PBT of RM563 million, supported by operational streamlining, capacity expansion, lower finance costs and improved productivity.

Meanwhile, JCorp’s agribusiness division, led by Kulim (Malaysia) Bhd and supported by Johor Plantations Group Bhd (KL:JPG), recorded revenue of RM1.76 billion amid favourable commodity prices, improved efficiency and sustained plantation productivity.

The division’s PBT rose to RM472 million, reflecting stronger upstream earnings, cost controls and process improvements.

Its real estate and infrastructure division posted a 28% increase in revenue to RM1.33 billion, mainly due to stronger property development and integrated community solutions contributions.

Its food and restaurant business under QSR Brands returned to profitability thanks to improvements in efficiency, customer experience, digitalisation, sales performance and cost control, supported by a focus on sustainable growth.

QSR Brands, which operates the KFC and Pizza Hut restaurant chains in Malaysia, recorded a 19% increase in revenue to RM3.85 billion despite changing consumer spending patterns and rising cost pressures.

The restaurant operator returned to profitability following measures to improve operational efficiency, optimise its portfolio, enhance customer experience and exercise greater cost discipline.

JCorp did not disclose QSR Brands’ profit figure.

“Across the group, we are seeing the benefits of sharper capital allocation, stronger operational discipline and a clear focus on value creation,” JCorp president and chief executive Datuk Syed Mohamed Syed Ibrahim said in the statement.

“We have strengthened our balance sheet while investing in sectors that are important to Johor’s future growth and competitiveness,” he added.

JCorp’s net assets increased to RM12.21 billion at end-2025 from RM11.76 billion a year earlier, while cash and cash equivalents rose to RM2.77 billion.

Gross gearing improved to 0.75 times, while the group’s assets under management reached nearly RM30 billion. Its total assets exceeded RM26 billion.

At the holding company level, JCorp recorded revenue of RM473 million and PBT of RM507 million, supported by dividend income from investee companies, industrial land sales, rental income and other recurring revenue.

However, holding company profit after tax was lower than in FY2024, with earnings boosted by an exceptionally high dividend contribution from the listing of Johor Plantations.

JCorp said it is moving into the next phase of its transformation after the completion of its JCorp 3.0 Reinvention Plan, with the group seeking to become an “AI-first” and impact-focused investment organisation.

The group will continue to pursue opportunities in healthcare, agribusiness, real estate, infrastructure and consumer businesses as investment activity and regional connectivity in Johor increase.