United Malacca Bhd anticipates stable fresh fruit bunch (FFB) production for the financial year ending April 30, 2027, supported by a more favorable plantation age profile and improvements in operational efficiency. However, the company noted that the emergence of a potential super El Niño weather pattern could negatively impact output in the latter half of the year.

The company expects satisfactory overall financial results for the full year, assuming crude palm oil prices and foreign exchange rates remain steady at current levels.

For the first quarter ended July 31, 2026, United Malacca reported a net profit of RM31.8 million, marking a 15.8% decrease compared to the same period the previous year. This decline was primarily attributed to weaker FFB production in its Malaysian plantations.

Revenue for the quarter dropped 6% to RM180.1 million from RM191.6 million a year earlier, while profit before tax decreased 12% to RM45.2 million. The company’s Malaysian plantation operations experienced a more pronounced impact, with profits falling 48% to RM24.3 million. This was linked to a 32% reduction in FFB output, which fell to 72,814 tonnes, alongside rising unit production costs.

United Malacca’s management highlighted that the more mature age profile of its plantations is expected to underpin production stability moving forward, while ongoing efforts to enhance efficiency are aimed at mitigating cost pressures. Nonetheless, the potential onset of adverse weather conditions associated with El Niño remains a key risk factor for the group’s operations in the coming months.