LEON FUAT BERHAD (“Leon Fuat” or the “Group”), a manufacturer and trader of steel products specialising in rolled long and flat steel, today announced its financial results for the second quarter ended 30 June 2025 (“Q2FY2025”), delivering stronger earnings momentum as profit before tax (“PBT”) grew 40.2% from RM4.74 million to RM6.65 million from the preceding year corresponding quarter (“Q2FY2024”) and nearly tripled from the immediate preceding quarter (“Q1FY2025”).
For Q2FY2025, the Group recorded revenue of RM228.84 million, marginally higher compared to RM227.00 million in Q2FY2024. Gross profit rose 14.4% year-on-year to RM24.12 million in Q2FY2025, supported by a higher gross profit margin of 10.5% versus 9.3% in the same quarter last year. As a result, Leon Fuat achieved a PBT of RM6.65 million, up from RM4.74 million in Q2FY2024, translating into a profit after tax (“PAT”) of RM5.37 million, an increase of 33.3%.
In comparison with Q1FY2025, the Group delivered a strong turnaround with revenue rising 7.7% from RM212.52 million, driven primarily by a 24.4% increase in trading revenue to RM79.75 million on the back of higher tonnage sales in trading of both flat and long carbon steel products. Gross profit expanded 23.4% to RM24.12 million, while PBT surged 255.9% from RM1.87 million in Q1FY2025, reflecting stronger operating leverage, improved margins, and lower operating costs.
Calvin Ooi Shang How, Executive Director of Leon Fuat commented, “We are encouraged by the strong quarter-on-quarter rebound, particularly the growth in sales volume and overall margin which supported a sharp turnaround in profitability. This demonstrates the resilience of our business model and the effectiveness of our operational strategies. While global uncertainties and steel price volatility remain, we are confident that our disciplined inventory management, cost optimisation, and broad customer base will continue to support sustainable performance for the rest of the year.”
Looking ahead, Leon Fuat remains cautiously optimistic. The Group expects improving steel prices and the strengthening of the Ringgit to provide tailwinds, though it remains vigilant on global macroeconomic developments. With continued emphasis on efficiency and prudent risk management, the Board anticipates positive results for the remaining quarters of FY2025.
As at 28 August 2025, the share price of Leon Fuat is RM0.365, representing a market capitalisation of RM124.50 million.
