Wilmar H1 net profit rises 2.3% on stronger feed and food product segments

Wilmar International reported a 2.3% increase in net profit for the first half of 2026, reaching US$608.9 million compared to US$594.9 million in the same period last year. The company attributed this growth to stronger performance in food, feed and industrial products segments. However, weaker results from plantation and sugar milling contributed to the overall improvement.

Revenue grew by 17.2% year-on-year to US$38.6 billion, led by the consolidation of AWL Agri Business and higher selling prices. Earnings per share increased to US$0.098, up from US$0.095. The company declared an interim dividend of S$0.05 per share, up from S$0.04 per share previously, with payment scheduled for September 2nd. Food products segment showed a boost due to AWL's consolidation, gain from joint ventures disposal, and improved sales volume.

Feed and industrial products segment saw better volumes and refining margins in the tropical oils business, while soybean crushing activities in China boosted sales. However, plantation and sugar milling segment underperformed due to softer sugar prices. Wilmar also recorded a US$24.7 million impairment loss on its sugar milling assets in India.

The palm plantation business experienced a 6% decline in fresh fruit bunch production volumes in H1, primarily due to lower crop production in Indonesia. Higher mark-to-market losses on investment securities were also recorded. Kuok Khoon Hong, Wilmar's CEO, noted that despite heightened commodity market volatility due to the Middle East conflict, the company's integrated business model and diversified operations provide resilience.