KUALA LUMPUR: Fiamma Holdings Bhd, a leading distributor of home appliances, sanitaryware, healthcare products, and medical devices, remains cautiously optimistic about its outlook for 2026, supported by steady execution and strategic progress achieved throughout 2025.
Entering 2026, the group is focused on strengthening its core Trading & Services business, expanding selectively into adjacent categories, and building a more balanced earnings profile.
These efforts are expected to enhance earnings resilience amid a challenging global operating environment.
For the nine months ended September 30, 2025, Fiamma recorded a profit before tax (PBT) of RM70.6 million, more than double the RM29.7 million achieved in the same period last year, despite revenue easing 5.2% year-on-year to RM269.0 million.
While part of this uplift was attributable to non-core items, the group’s core Trading & Services business remained profitable and resilient, with segment PBT improving slightly year-on-year to RM30.9 million despite lower revenue.
Contributions from associate-led property projects also supported overall performance during the period.
Fiamma’s group CEO Tan Chee Wee said the group’s 2025 performance reflected disciplined execution across its key businesses.
“2025 was a year of strengthening our foundations. Our Trading & Services segment continued to generate stable recurring income, contributing about 85% of the group’s revenue, while profitability improved on the back of a more favourable product mix and disciplined execution, despite higher operating costs.
“At the same time, contributions from our property associates began to support earnings as projects progressed,” he said in a statement.
Tan said that during 2025, the group expanded its home appliances portfolio beyond its traditional kitchen offerings into adjacent household categories such as laundry and cleaning solutions.
“These new categories are intended to increase household penetration and leverage Fiamma’s nationwide distribution network of over 2,000 retail and sales touchpoints, supported by more than 100 authorised service centres across Malaysia,” he said.
The group also entered the air conditioner category with a nationwide rollout in mid-2025, marking a strategic move into one of Malaysia’s largest consumer appliance segments, estimated to exceed RM3 billion in annual sales.
While still in its early phase, this category complements Fiamma’s existing product range and strengthens its positioning as a total home solutions provider.
Beyond consumer appliances, Fiamma continued to grow its medical and healthcare distribution business in 2025, serving both institutional and consumer healthcare channels.
Supported by rising public healthcare spending and Malaysia’s ageing population, the segment provides a more defensive and recurring revenue stream to the group.
Operationally, Fiamma initiated its ERP and digital transformation programme in 2025, beginning with a detailed review and blueprinting of existing systems and processes.
These initiatives are expected to enhance execution quality and scalability as the group grows.
Looking ahead, Fiamma remains cautiously optimistic for 2026. The group will continue to strengthen its home appliances portfolio, including kitchen, laundry, cleaning and cooling solutions, supported by rising demand for smart and energy-efficient products.
Expansion in healthcare and medical devices, together with improving contributions from property associates, is expected to further diversify earnings.
While operating expenses are expected to increase next year due to strategic investments — including a new corporate office, ERP upgrades, smart appliance software development and enhancements to employee capabilities — management views these as necessary investments to support long-term efficiency, customer experience and sustainable growth.
“Our strategy remains clear. We are building a diversified and resilient earnings base, growing within our means, and investing where it strengthens our core. That positions us well as we move into 2026,” Tan said.
