KUALA LUMPUR (Aug 19): Hong Leong Industries Bhd has reported a 22.6% year-on-year increase in its fourth quarter net profit on firmer motorcycle demand and a richer sales mix.

Net profit for the fourth quarter ended June 30, 2026 (4QFY2026), rose to RM143.59 million from RM117.16 million, according to its Bursa Malaysia filing on Wednesday.

The manufacturer of motorcycles and spare parts, however, warned of a more crowded playing field ahead with a growing wave of motorcycles from China entering the market.

Revenue climbed 8.8% year on year to RM915.58 million from RM841.90 million.

The group did not recommend a final dividend for FY2026. Its total payout for the year is 100 sen per share, versus 80 sen in the previous year.

For the full year, Hong Leong Industries saw its net profit increase 18.1% to RM574.11 million from RM486.03 million in FY2025, while revenue rose 3.3% to RM3.69 billion from RM3.57 billion.

The group noted that the current operating environment remains clouded by geopolitical uncertainties that could affect supply chain stability and input costs. It expects the motorcycle market to stay resilient on affordability, fuel efficiency and practicality as a preferred mode of commuting, despite growing foreign competition.

Hong Leong Industries said it will continue strengthening its product portfolio, optimising its model mix and maintaining cost discipline and prudent inventory management, while monitoring market developments.

Shares of Hong Leong Industries have gained 11.2% year-to-date. The stock closed down two sen or 0.11% at RM17.96 on Wednesday, valuing the group at RM5.7 billion.