Orgabio Holdings Berhad (“Orgabio” or the “Company”), a leading instant beverage premix manufacturer in Malaysia, recorded a 521.17% year-on-year (“YoY”) surge in net profit after tax (“PAT”) to RM3.1 million for the fourth quarter ended 30 June 2026 (“Q4 FY2026”), compared with RM0.5 million in Q4 FY2025.
The stronger profitability was supported by an improvement in gross profit and gross profit margin, underpinned by better economies of scale, stable raw material prices and enhanced operational efficiency following the commencement of operations at its new factory.
For Q4 FY2026, the Group recorded revenue of RM31.3 million, 8.55% lower YoY from RM34.2 million, mainly due to lower revenue from instant beverage premix manufacturing services for third-party brand owners in the domestic market. Despite the softer topline, overseas revenue increased to RM17.8 million from RM16.4 million in Q4 FY2025, while manufacturing remained the Group’s principal revenue contributor.
Gross profit increased 32.05% YoY to RM6.1 million from RM4.6 million, while gross profit margin expanded to 19.52% from 13.52%. The improvement was driven by better economies of scale, stable raw material prices and enhanced operational efficiency following the commencement of operations at the new factory.
For FY2026, Orgabio sustained the stronger earnings momentum, with PAT increasing 201.20% YoY to RM11.8 million from RM3.9 million in FY2025. Revenue rose 31.35% YoY to RM145.9 million from RM111.1 million, while gross profit increased 53.72% YoY to RM27.5 million from RM17.9 million. Basic earnings per share improved to 4.77 sen from 1.58 sen.
Growth was broad-based across the Group’s key geographical markets. Domestic revenue increased 36.21% to RM78.4 million from RM57.6 million, while overseas revenue rose 26.11% to RM67.5 million from RM53.5 million. Revenue from the provision of instant beverage premix manufacturing services for third-party brand owners increased to RM145.0 million from RM110.4 million, reinforcing the manufacturing segment’s role as the Group’s core earnings driver.
As at 30 June 2026, Orgabio’s shareholders’ equity strengthened to RM71.5 million from RM59.7 million a year earlier, while net assets per share improved to RM0.29 from RM0.24. Total borrowings declined to RM7.1 million from RM10.4 million, while cash and cash equivalents increased to RM14.7 million from RM9.3 million. Net cash generated from operating activities rose to RM12.7 million for FY2026 from RM6.9 million in FY2025, reflecting stronger operating cash flow generation.
Mr. Ean Yong Hien Voon, Chief Executive Officer and Executive Director of Orgabio Holdings Berhad commented:
“FY2026 reflects a meaningful strengthening in Orgabio’s earnings capacity. Revenue expanded across both domestic and overseas markets, while better factory utilisation, stable input costs and improved operating efficiency supported stronger margins and profitability.
Although domestic orders moderated in Q4, the year-on-year improvement in gross profit margin and PAT demonstrates the continued strengthening of our operating performance.”
Looking ahead, Orgabio remains positive on the long-term outlook of the global instant coffee and beverage premix market, supported by rising demand for convenient, functional and premium beverage solutions. The Asia-Pacific region is expected to remain an important growth market, underpinned by urbanisation, evolving consumer lifestyles and increasing adoption of instant and specialty coffee products.
In Malaysia, the coffee premix industry is expected to remain resilient, supported by stable domestic consumption, export opportunities and the country’s position as a regional manufacturing hub for halal-certified beverage products. Consumer preferences are also shifting towards healthier and value-added products, including low-sugar, plant-based and dairy-free alternatives, creating further opportunities for product innovation.
With enhanced manufacturing capabilities and a stronger financial position, the Board remains cautiously optimistic on the Group’s prospects. Orgabio will continue to focus on strengthening its OEM/ODM manufacturing capabilities, enhancing operational efficiency and driving product innovation, while implementing appropriate measures to mitigate ongoing cost pressures.
