SBH Marine Holdings Berhad (“SBH Marine” or the “Group”), a vertically integrated frozen seafood producer principally involved in aquaculture shrimp farming, processing and sale of frozen seafood products, today announced its unaudited financial results for the first quarter ended 31 March 2026 (“Q1 FY2026”), recording revenue of RM39.2 million amid temporary raw material supply constraints, foreign exchange volatility and softer export market conditions.
For Q1 FY2026, the Group’s revenue was mainly contributed by the processing and sale of frozen seafood products segment, which recorded RM28.4 million in external revenue, followed by the merchant trading of frozen processed seafood products segment, which contributed RM10.4 million. The quarter’s performance was affected by lower processing volumes, particularly for Vannamei and Monodon shrimps, following a shortage of aquaculture shrimp supplies during the festive season period, as well as continued disruption to global shipping routes and demand conditions in key export markets.
Despite the challenging operating environment, SBH Marine continued to make progress in its longer-term expansion initiatives, particularly in strengthening its upstream aquaculture capabilities. The Group’s Selinsing Farm development is progressing according to schedule, with 62 shrimp ponds completed and ready for cultivation. Construction works for Block G, designed to accommodate 13 additional ponds, commenced during Q1 FY2026, with infrastructure and pond-shaping works currently underway.
The Group expects the temporary shrimp supply situation to gradually recover by the end of the second quarter or early third quarter of 2026. In parallel, SBH Marine is working to improve stocking efficiency at its aquaculture farms, broaden its sourcing network for merchant trading activities and strengthen procurement planning to reduce reliance on external supply fluctuations.
Commenting on the Group’s performance and outlook, Mr. Tan Boo Nam, Group Managing Director of SBH Marine Holdings Berhad, said, “Q1 FY2026 was a challenging quarter for the seafood export industry, impacted by a combination of raw material shortages, foreign exchange movement and elevated logistics costs. Nevertheless, these are near-term operating pressures, and our strategic focus remains intact. The continued progress of Selinsing Farm is important to SBH Marine’s long-term plan to strengthen supply security, improve traceability and support higher contribution from our aquaculture division over time.”
He added, “We are also taking a more disciplined approach in managing foreign currency exposure and procurement costs. As an export-oriented business, we will continue to explore appropriate treasury tools, including forward foreign exchange contracts where suitable, while aligning our cost structure more closely with sales denominations to better protect margins.”
For the quarter under review, SBH Marine recorded a loss before tax of RM2.4 million, compared with a profit before tax of RM1.6 million in the corresponding quarter last year. The result mainly reflected margin compression from reduced premium shrimp processing volumes, softer average selling prices, higher freight-related pressures and a net foreign currency loss. The Group, however, maintained a healthy financial position as at 31 March 2026, with cash and cash equivalents of RM33.5 million and total equity of RM125.9 million.
SBH Marine also successfully concluded its 4th Annual General Meeting (“AGM”) today, with shareholders approving all resolutions tabled at the meeting. The approved resolutions included the re-election of retiring Directors, re-appointment of external auditors, payment of Directors’ fees and benefits, as well as the renewal of the general mandate for the issuance of shares pursuant to Sections 75 and 76 of the Companies Act 2016. The AGM also provided shareholders with updates on the Group’s operational performance, Selinsing Farm expansion progress and ongoing initiatives to strengthen its vertically integrated seafood and aquaculture operations.
Looking ahead, SBH Marine remains cautiously optimistic on its prospects for the financial year ending 31 December 2026. While near-term market conditions are expected to remain sensitive to global logistics, currency movement and consumer demand in export markets, the Group believes that its ongoing aquaculture expansion, vertically integrated model and disciplined cost management will support greater operational resilience over the medium term.
