KUCHING: Supreme Consolidated Resources Bhd says the on-going geopolitical tension and conflicts in the Middle East may impact the group’s operating costs, lead times and overall supply chain efficiency, particularly for imported materials and logistics activities.
The company said what is happening in the Middle East continues to create volatility across global supply chains, resulting in higher freight, energy and raw material costs as well as potential disruptions to shipping routes and product distribution.
“To mitigate these risks, the group has implemented proactive measures including strategic inventory planning, logistics optimisation, and tighter cost management initiatives to enhance operational resilience,” it added when releasing its first half-yearly financial results.
Supreme is a fully integrated fast moving consumer goods based company which is engaged in import, trading and distribution of frozen, chilled, dairy and dry food products in Sarawak and Sabah.
In the first six-month period ended March 31, 2026 (6m2026), Supreme delivered improved bottom lines, with group net profit grew to RM6.1 million (6m2025:RM5.5 million) as revenue expanded to RM133.3 million from RM123.2 million.
“The increase in revenue was mainly attributable to higher sales of frozen sand chilled food products, driven by stronger festive season demand,” the company added in explanatory notes to its financial results.
In 6m2026, Supreme said gross profit margin had been reduced to 12.11 per cent from 12.46 per cent due to intensified price competition within the frozen and chilled food segment.
In 2Q2026, group revenue surged to RM73 million from RM67 million a year ago, boosted by strong sales of frozen and chilled food products during the festive seasons.
This drove group net profit to RM3.54 million from RM3.14 million during the same period, The company’s earnings per share improved to 0.82sen from 0.74sen.
Supreme has declared an interim dividend of 0.35sen per share.
Supreme said the 8.95 per cent jump in group revenue in current quarter had lifted gross profit by eight per cent to RM8.95 million (2Q2025:RM8.29 million) despite moderation in gross profit margin to 12.36 per cent (12.26%) because of changes in product mix and market pricing conditions.
The 2Q2026 financial results were an improvement from the immediate preceding quarter (1Q2026) when group pre-tax profit was lower at RM2.57 million (2Q2026:RM3.54 million).
“Gross profit increased by 24.48 pe cent to RM8.95 million from RM7.19 million recorded in the preceding quarter with the high revenue achieved. Gross profit margin improved slightly from 11.92 per cent to 12.26 per cent, mainly attributable to improved sales mix of products and operational efficiencies during the quarter,” added Supreme.
Updating the utilisation of proceeds of RM17.5 million raised from the public issue of shares as the company was transferred to the ACE Market from Leap Market, Supreme said out of the RM11 million allocated for the expansion of warehouse facility project, RM5.6 million had been spent whereas the RM4 million set aside for working capital had been used up.
Another RM2.5 million had been used to pay for the listing expenses.
