KUALA LUMPUR (July 28): Nestlé (Malaysia) Bhd (KL:NESTLE) said on Tuesday that its net profit rose more than 38% year-on-year in the second quarter, driven by broad-based revenue growth, effective cost management and efficiency gains across the value chain.

Net profit for the three months ended June 30, 2026 (2QFY2026) stood at RM155 million or 66.1 sen per share, compared with RM112.1 million or 47.81 sen per share a year earlier, according to the food and beverage conglomerate’s filing with Bursa Malaysia.

Revenue for the quarter increased 8.7% year-on-year to RM1.81 billion from RM1.69 billion, supported by growth in both domestic and export sales.

The group declared an interim dividend of 80 sen per share, amounting to RM187.6 million, compared with 70 sen a year earlier. The dividend is payable on Oct 1.

Looking ahead, Nestlé Malaysia, whose share price has fallen more than 15% since early May, said it remains confident of delivering a "robust financial performance" for the rest of FY2026, despite ongoing global uncertainties and changing consumer preferences.

The group said it will continue investing in digitalisation, automation and other initiatives to enhance operational efficiency, agility and long-term competitiveness.

For the first six months of FY2026, Nestlé Malaysia’s net profit rose 31.7% year-on-year to RM360.1 million from RM273.5 million, while revenue increased 7.4% to RM3.69 billion from RM3.44 billion.

Nestlé Malaysia shares closed 48 sen or 0.5% higher at RM91.78 during Tuesday’s midday break, giving the company a market capitalisation of RM21.5 billion.