Eckem Holdings Berhad (“Eckem Holdings”, together with its subsidiaries, the “Group”), a specialty industrial chemical solutions provider in Malaysia which also undertakes the manufacturing and trading of rubber products, today announced its unaudited financial results for the second quarter ended 30 June 2026 (“Q2 FY2026”). The Group recorded revenue of RM9.96 million, profit before tax (“PBT”) of RM1.67 million and profit after tax (“PAT”) of RM1.28 million.
Compared with the immediate preceding quarter, revenue increased by 4.4% from RM9.55 million, primarily driven by higher sales volume. Profitability expanded at a significantly faster pace, with PBT rising 50.7% quarter-on-quarter (“QoQ”) from RM1.11 million and PAT increasing 51.9% QoQ from RM0.84 million. The stronger earnings reflected higher gross profit from increased sales volume, improved gross profit margin and lower operating expenses arising from better cost control and operational efficiency.
The Group’s gross profit margin improved to approximately 31.1% in Q2 FY2026 from approximately 28.9% in Q1 FY2026, while PAT margin strengthened to approximately 12.8% from 8.8% over the same period, underscoring the stronger conversion of revenue into earnings during the quarter.
The distribution, sales and application formulation of specialty industrial chemical products segment remained the Group’s core contributor, generating RM9.47 million or approximately 95.0% of Q2 FY2026 revenue. The manufacturing and trading of rubber products segment contributed approximately RM0.50 million. For the six-month period ended 30 June 2026 (“1H FY2026”), the Group recorded revenue of RM19.51 million, PBT of RM2.78 million and PAT of RM2.12 million.
Mr. Tan Khai Jeik (Jack Tan), Executive Director of Eckem Holdings Berhad, said, “Our Q2 FY2026 performance reflects encouraging progress in the quality of our earnings. While revenue grew 4.4% quarter-on-quarter, PAT increased by 51.9%, supported by higher sales volume, improved margins and disciplined cost management. We will continue to focus on operational efficiency while maintaining the reliable supply, customised formulations and technical support that our customers expect from Eckem Holdings.
Following our listing in July, our priority is to execute the expansion plans set out in our prospectus and build a stronger platform for sustainable growth. The investments in our new corporate office, warehouse and laboratory, together with the planned expansion of our rubber products production line, will strengthen our capabilities and position us to better serve the evolving requirements of our customers.”
As part of its post-listing expansion, the Group entered into two construction agreements on 13 August 2026 with ETA Design & Build Sdn Bhd for the construction of its new corporate office, warehouse and laboratory, with an aggregate contract value of approximately RM13.17 million. The project is expected to be completed within 24 months from the date of the agreements.
Of the construction cost, RM6.00 million will be funded from the Group’s initial public offering (“IPO”) proceeds, with the remaining approximately RM7.17 million funded through a banking facility secured from Alliance Islamic Bank Berhad. The Group has also earmarked RM2.00 million of IPO proceeds for the expansion of a new production line for its rubber products segment to enhance manufacturing capabilities.
Looking ahead, Eckem Holdings remains focused on strengthening productivity, cost efficiency and prudent financial management amid fluctuations in global crude oil and raw material prices, supply-chain disruptions and trade uncertainties. Malaysia’s policy direction under the Chemical Industry Roadmap 2030 and New Industrial Master Plan 2030 continues to support higher-value downstream chemical activities, innovation, automation and advanced manufacturing.
The Malaysian Investment Development Authority reported RM23.6 billion in approved investments in chemicals and chemical products across 87 projects in 2025, reflecting continued investment interest in Malaysia’s higher-value chemical value chain. Against this backdrop, the Group will continue to evaluate strategic opportunities that can reinforce long-term resilience and sustainable growth.
Eckem Holdings was successfully listed on the ACE Market of Bursa Malaysia Securities Berhad on 3 July 2026 under the stock name “ECKEM” and stock code “0463”.
