Olam H2 profit up more than 3 times at S$120.3 million on stronger continuing operations

[SINGAPORE] Olam Group on Friday (Feb 27) posted a more than three times increase in net profit to S$120.3 million for its second half ended Dec 31, 2025, from S$38.4 million in the previous corresponding period.

For the full year, net profit was up about five times at S$444.1 million, the Temasek-backed group said.

This was mainly due to improved performance from its continuing operations – ofi and the remaining Olam Group – as Olam executes its updated 2025 reorganisation plan.

At market open on Friday, shares of Olam fell by 8.6 per cent or S$0.085 to S$0.905.

Earnings per share stood at S$0.0278 for the half-year period, up from S$0.0058 the previous year.

Revenue for H2 rose 12 per cent to S$14.3 billion from S$12.8 billion a year earlier, not including the discontinuing operations of Olam Agri. For the full year, revenue was up 28.8 per cent at S$29.6 billion.

Growth was driven by the pass-through of higher input prices, particularly for coffee and cocoa, the group said. 

No final dividend was recommended for the full year, versus a final dividend of S$0.03 per share in the year-ago period. 

“In view of the ongoing execution of the updated reorganisation plan and pending completion of the sale of Olam Agri to Salic (Saudi Agricultural and Livestock Investment Company), the board deems it prudent to conserve cash at this time to ensure operational resilience,” Olam said. 

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An interim dividend of S$0.02 per share was paid in August 2025.

Olam Group co-founder and chief executive officer Sunny Verghese said the group delivered strong growth despite elevated market uncertainties and a volatile trading environment.

“Our priority remains on unlocking value in our continuing businesses… The proposed sale of Olam Agri to Salic is progressing well and we expect to complete this transaction in the near future,” he said.

“Our plan to divest assets in the remaining Olam Group is on track with three of the remaining 10 assets sold or wound down. We are now focused on successfully executing the growth initiatives at ofi with the objective of realising its full potential value,” he added.