KUALA LUMPUR (Aug 27): Press Metal Aluminium Holdings Bhd (KL:PMETAL) booked record earnings in the second quarter on the back of higher revenue as well as a gain from the dilution of its investment in an associate company.

Net profit for the three months ended June 30, 2026 (2QFY2026) came in at RM801 million, a 66% increase from RM483.6 million a year earlier, the aluminium smelter said in a bourse filing.

Excluding the one-off gain of RM115.4 million from the dilution of its investment in an associate, core profit after tax and minority interest (Patami) stood at RM685.58 million, representing a 42% year-on-year growth.

Revenue also rose 12% to a record high of RM4.69 billion from RM4.19 billion in the corresponding quarter of the preceding year, thanks to higher realised metal prices.

Press Metal declared a second interim dividend of 2.5 sen per share, up from two sen per share a year earlier, payable on Sept 29, 2026.

For the cumulative six-month period (6MFY2026), Press Metal’s net profit jumped nearly 51% to RM1.43 billion from RM945.3 million, while revenue rose 8.7% to RM8.79 billion from RM8.09 billion.

In a statement, Press Metal group chief executive officer Tan Sri Paul Koon said the supply imbalance caused by aluminium production curtailments in the Middle East was gradually easing as affected smelters resumed operations.

However, the global aluminium market is expected to remain relatively tight as new capacity, particularly in Indonesia, will take time to fully ramp up, he said.

In addition, Koon said continued disruptions in the Middle East and along the Red Sea are keeping supply chains and freight costs elevated while supporting regional premiums.

Koon also noted that Press Metal recorded a substantial improvement in value-added product sales volumes in the second quarter of 2026, driven by wider market penetration and supply disruptions in the Middle East.

“We expect the shift towards alternative sourcing to continue as customers increasingly prioritise supply diversification and material security,” he said.

Press Metal’s shares closed six sen higher at RM8.01 on Thursday, giving the group a market capitalisation of RM66 billion. Year to date, the counter has gained 12.5%.