PETALING JAYA: Sports Toto Bhd (SPToto) posted revenue of RM1.47 billion for the second quarter ended Dec 31, 2025 (Q2 FY26), showing a marginal decline of 0.3% compared to revenue of RM1.48 billion in Q2 FY25.
The group’s pre-tax profit dropped by 9.9%, from RM82.6 million in the same quarter last year to RM74.4 million in Q2 FY26. This was mainly attributed to the performance of HR Owen Plc.
For Q2 FY26, STM Lottery Sdn Bhd achieved a revenue growth of 3.3%, primarily driven by an improvement in average sales per draw, higher accumulated jackpot prizes in Lotto games, and an additional draw in Q2 FY26, which was 42 draws versus 41 draws.
The pre-tax profit increased by 1.6%, primarily reflecting the combination of stronger sales and lower prize payout in Q2 FY26.
HR Owen’s revenue eased 1% for Q2 FY26, mainly attributed to softer new car sales, but partially mitigated by increased revenue from the used car sector.
Vehicles’ product life-cycle factors, along with transition gaps between new-model launches, led to lower sales in the new-car sector.
When translated into ringgit, the group’s reporting currency, revenue reduction was 3.4% due to the unfavourable foreign exchange effect.
It reported a pre-tax loss of RM15.6 million for Q2 FY26, compared to a pre-tax loss of RM7.8 million in Q2 FY25.
The higher pre-tax loss was in line with the drop in revenue, coupled with increased operating expenses amid challenging economic conditions and the effects of newly implemented labour regulations in the United Kingdom.
For the six-month period of FY26 (6M FY26), the group’s revenue increased 1.6% to RM2.97 billion from RM2.92 billion in the same period last year, boosted by higher sales from STM Lottery.
However, the group’s pre-tax profit fell 20.9% to RM119.5 million from RM151.1 million in 6M FY25, mainly due to the softer performance of the STM Lottery and HR Owen.
STM Lottery registered a revenue growth of 4.3% for the 6M of FY26. The sales growth was largely attributed to higher average sales per draw, driven by increased interest in the Jackpot games, as well as an additional draw in the current period, bringing the total to 82 draws versus 81 draws.
However, pre-tax profit dropped by 8.7%, mainly due to higher prize payout and higher operating expenses incurred in the current period.
HR Owen recorded revenue growth of 1% in the current period primarily driven by higher sales volume in the used-car sector.
However, when translated into ringgit, its revenue dropped by 0.7%, mainly due to unfavourable foreign exchange effect.
It reported a pre-tax loss of RM25 million for the 6M of FY26, compared with a pre-tax loss of RM19.3 million in the 6M of FY25, resulting from margin pressure with end-of-product-life-cycle vehicles and increased operating expenses
attributed to statutory employment cost particularly associated with the newly implemented UK labour regulations.
The board has declared a second interim dividend of 3.0 sen per share, amounting to approximately RM39.65 million, for the financial year ending June 30, 2026, based on shares with voting rights as at February 13, 2026.
The dividend is payable on April 17 and the entitlement date is set on March 27.
The total dividend distribution for FY26 is approximately RM66.17 million.
In a statement, the group said SPToto remains cautiously optimistic that its business will remain stable and resilient.
The number forecast operation (NFO) business is expected to sustain a growth trajectory, supported by the popularity of its jackpot and digit games.
The directors remain confident that SPToto will continue to maintain its leading market position in the legalised NFO business sector.
Despite the geopolitical and global economic uncertainties, the group’s businesses are anticipated to continue delivering a stable and positive outlook for the remaining quarters of the financial year ending June 30, 2026.
