PETALING JAYA: PGF Capital Bhd posted revenue of RM43.74 million for the first quarter ended May 31, 2026 (Q1 FY27), an increase of RM3.15 million or 7.8% compared to RM40.58 million in the same quarter last year.
The group recorded profit before tax (PBT) of RM11.45 million in Q1 FY27, marking a 14.3% year-on-year increase from RM10.01 million in Q1 FY26.
According to a Bursa Malaysia filing, the improvement was primarily driven by steady demand in the insulation segment.
PBT for Q1 FY27 included a net unrealised gain of RM0.65 million, while the PBT for Q1 FY26 included a net unrealised loss of RM0.61 million, arising from cross currency swap (CCS) facilities secured to finance the insulation segment’s expansion plan.
Despite the favourable impact of the net unrealised gain on the CCS facilities in Q1 FY27 compared with the net unrealised loss recognised in Q1 FY26, the improvement in the group’s PBT was moderated by higher operating costs incurred during Q1 of FY27.
Net profit for Q1 FY27 increased 20.1% to RM8.95 million compared to RM7.45 million posted in Q1 FY26.
The insulation segment’s revenue increased to RM43.56 million in Q1 FY27 as compared to RM40.46 million in Q1 FY26, supported by stable demand, particularly from the Oceania markets.
Consequently, PBT for Q1 FY27 has increased to RM13.22 million from RM11.86 million in the preceding Q1 FY26.
However, the improvement in PBT was moderated by higher operating costs in Q1 FY27 despite the cumulative impact of the net unrealised gain from CCS facilities of RM1.26 million.
The property development segment did not record any revenue in both Q1 FY27 and Q1 FY26.
However, the segment recorded a loss before tax of RM0.29 million in the current quarter compared to an LBT of RM0.19 million in Q1 FY26 due to higher operating expenditure incurred during the current quarter.
PGF Capital, in the filing, said the insulation segment is expected to remain the group’s principal contributor to revenue in FY27, supported by regulatory-driven demand for energy efficiency across its key markets.
For the property development segment, the group, through its joint venture, Nexel Development KHTP Sdn Bhd, is undertaking a mixed-use development in Kulim Hi-Tech Park, Kedah, aimed at meeting the growing demand for lifestyle-oriented residential offerings within the park.
Nexel Group in the process of resubmitting a comprehensive development plan, subject to regulatory approvals.
Similarly, in Tanjong Malim, Perak, PGF Capital’s joint development with Malvest Properties continues to advance, with key infrastructure works pending finalisation.
Both projects remain strategically positioned to benefit from the ongoing industrial and automotive manufacturing expansion in their respective areas, supporting sustained long-term demand for residential and commercial properties.
PGF Capital executive director and group CEO Fong Wern Sheng commented, “We are off to a good start in FY27, with our Insulation segment continuing to perform well. Sustained demand from our key markets, particularly Oceania, supported by regulatory-driven energy efficiency standards, was a key driver of the quarter’s results.
“Building on this momentum, the group is actively exploring opportunities to enter new international markets with strict insulation and energy efficiency regulations, which we believe will provide additional growth avenues and further strengthen our global footprint.
“During the quarter, we advanced our sustainability initiatives by recycling laminated windshields as raw materials input for the glass wool production, reducing reliance on finite raw materials and strengthening our environmental profile. In addition, we are evaluating the recycling of retired solar panels to provide additional glass waste for production, further reinforcing our commitment to resource efficiency.”
