Hello fellow investors and market enthusiasts! Today, we’re diving into the latest financial heartbeat of Lay Hong Berhad, a prominent player in Malaysia’s integrated livestock farming, food manufacturing, and retail sectors. The company has just released its unaudited financial results for the fourth quarter ended 31 March 2025 (Q4 FY2025), along with the full financial year performance.
While the fourth quarter presented some headwinds, the full financial year paints a picture of resilience and strategic growth in certain areas. Lay Hong Berhad managed to grow its overall revenue for the full year, a testament to its diversified business model. However, the immediate quarter saw a dip in profitability, signaling the challenges in the current operating environment. Let’s break down the numbers and understand what’s shaping Lay Hong’s trajectory.
Core Financial Highlights: A Mixed Bag for Q4, Growth for the Full Year
The latest report reveals a nuanced performance. For the full financial year ended 31 March 2025, Lay Hong Berhad demonstrated growth in its top line and net profit. However, the individual fourth quarter experienced a contraction in both revenue and profit before tax compared to the same period last year.
Full Financial Year (FY2025 vs FY2024)
Revenue
FY2025: RM1,084,460,000
Compared to
FY2024: RM1,042,794,000
Increase: 4.00%
Net Profit After Tax
FY2025: RM91,528,000
Compared to
FY2024: RM90,079,000
Increase: 1.61%
Basic Earnings Per Share
FY2025: 12.11 sen
Compared to
FY2024: 12.18 sen
Slight Decrease: (0.57%)
The slight decrease in basic EPS despite higher net profit is due to an increase in the weighted average number of ordinary shares, partly from the Employees’ Share Scheme (ESS) exercises.
Individual Quarter (Q4 FY2025 vs Q4 FY2024)
Revenue
Q4 FY2025: RM246,864,000
Compared to
Q4 FY2024: RM286,288,000
Decrease: (13.77%)
Profit Before Tax (PBT)
Q4 FY2025: RM17,938,000
Compared to
Q4 FY2024: RM37,506,000
Decrease: (52.17%)
Net Profit After Tax
Q4 FY2025: RM15,491,000
Compared to
Q4 FY2024: RM25,461,000
Decrease: (39.17%)
Basic Earnings Per Share
Q4 FY2025: 2.24 sen
Compared to
Q4 FY2024: 3.68 sen
Decrease: (39.13%)
The significant decline in Q4 profit is primarily attributed to a lower quantity of live chicken sold in the Integrated Livestock Farming (ILF) segment and a decrease in sales of further processed poultry products in Food Manufacturing (FM), even with government subsidies included in the PBT figures.
Segmental Performance: A Closer Look
Lay Hong’s diversified business segments showed varied performances:
| Segment | FY2025 Revenue (RM’000) | FY2024 Revenue (RM’000) | Change (%) | Key Driver (FY25 vs FY24) |
|---|---|---|---|---|
| Integrated Livestock Farming (ILF) | 835,510 | 814,901 | +2.53% | Higher quantity of live chicken and eggs sold. |
| Food Manufacturing (FM) | 603,137 | 553,982 | +8.87% | Increased sales quantity of primary and further processed poultry products, new frozen chicken products. |
| Retail Business (RB) | 233,879 | 208,127 | +12.37% | Higher patronage from new outlets. |
For the full year, all three core segments demonstrated revenue growth, with Retail Business leading the charge. This multi-pronged approach seems to provide a buffer, even when one segment faces challenges, as seen in the ILF’s Q4 individual quarter performance.
Financial Health: Stronger Balance Sheet
Lay Hong’s financial position appears robust. The company has strengthened its balance sheet, indicating prudent financial management.
Total Assets
FY2025: RM1,095,697,000
Compared to
FY2024: RM1,053,570,000
Increase: 4.00%
Total Equity
FY2025: RM660,015,000
Compared to
FY2024: RM570,987,000
Increase: 15.59%
Total Borrowings
FY2025: RM203,111,000
Compared to
FY2024: RM231,434,000
Decrease: (12.39%)
Net Assets Per Share
FY202
