PETALING JAYA: Bermaz Auto Bhd (BAuto) reported lower group revenue and profit before tax (PBT) of RM556.5 million and RM28.4 million respectively for the second quarter ended Oct 31, 2025 (Q2’26) compared to RM646.9 million and RM57.1 million respectively in the preceding year’s corresponding quarter.
Revenue declined by RM90.4 million (-14%) largely due to lower sales volume in domestic operations for certain Mazda and Kia vehicles which are nearing their end of product lifecycles and aggravated by the highly competitive market conditions such as the influx of Chinese-made vehicles with their low pricing strategy.
The lower revenue was partially mitigated by encouraging sales from its CBU models namely, XPeng X9, Mazda CX-60 and Mazda3 1.5L, which were available in March, September and October of 2025 respectively.
PBT declined by RM28.7 million (-50.2%) compared to the preceding year’s corresponding quarter largely due to the drop in revenue.
In addition, the group recorded share of losses from associate companies in the current quarter compared to share of profits in the previous corresponding quarter largely due to Kia Malaysia Sdn Bhd, which was negatively impacted by retroactive fees (idle capacity costs) from lower-than-anticipated CKD production volumes.
The group also accounted for expenses relating to its Employees Share Scheme amounting to RM1.1 million in the quarter under review compared to RM2 million in the preceding year’s corresponding quarter.
For the six-month period ended Oct 31, 2025, BAuto reported lower revenue and PBT of RM1.05 billion and RM47.3 million respectively compared to RM1.49 billion and RM154.8 million respectively in the corresponding quarter of the previous year.
Group revenue declined by RM445.3 million (-29.8%) largely due to lower sales volume from its Mazda and Kia domestic operations, which was partly mitigated by the launching of several CBU models.
The drop in PBT of RM107.5 million (-69.4%) compared to the preceding year corresponding period was due to share of losses from its associate companies.
In addition, BAuto accounted for the expense relating to the group’s Employees Share Scheme of about RM2.3 million in the six-month period compared to RM4 million in the previous year’s corresponding period.
For the quarter ended Oct 31, 2025, the board has approved and declared a second interim dividend of 1.25 sen single-tier dividend per share in respect of financial year ending April 30, 2026 (quarter ended Oct 31, 2024: 3 sen). The entitlement date has been fixed on Jan 23, 2026 and payment is on Feb 6, 2026.
BAuto in a statement said Malaysia’s economy will continue to be impacted by inflationary pressures, ongoing uncertainties in geopolitical conflicts and weaker global growth. Vehicle sales in the country will continue to be impacted by the influx of Chinese-made vehicles.
The company during the quarter under review introduced new CBU models such as the Mazda CX60, Mazda CX-80 PHEV and the 1.5 High Plus variant of the Mazda3 as an interim measure to address the end-ofproduct lifecycles of certain vehicle models in the group. These models have been well received by consumers as reflected by the higher sales registered and is expected to contribute positively to the group’s results moving forward.
Although the sales of the above models will have a positive impact on the group’s financial performance in the coming quarters, the board remains cautious and anticipates the overall performance of the group will continue to be challenging for the financial year ending April 30, 2026.
