Yeo Hiap Seng Limited (SGX: Y03) reported net profit of S$1.8 million for the six months ended Jun 30, up 12 percent year-on-year, lifted by continued sales momentum in Malaysia, Singapore, Cambodia and Australia.

Group revenue rose 8 percent to S$159.8 million, while earnings per share improved to 0.28 Singapore cent from 0.25 cent a year earlier. The company did not declare any interim dividend.

Within the topline, Yeo’s food-and-beverage segment contributed S$152.7 million, an increase of 9 percent YoY, accounting for more than 95 percent of total turnover. Gross profit expanded 7 percent to S$50.1 million, keeping the margin steady at 31.4 percent. Other gains of S$7.9 million—mainly fair-value increases on investment properties—also underpinned bottom-line growth.

Management attributed the revenue uplift to stronger demand across key Southeast Asian markets and Australia, alongside ongoing efforts to optimise operations. Initiatives during the period included tighter procurement, product-mix optimisation and disciplined cost control.

The company cautioned that the operating backdrop remains uncertain, citing volatile input costs, elevated freight and energy prices, and foreign-exchange swings driven by Middle East tensions and a firmer Singapore dollar.

To counter headwinds, Yeo’s is pressing ahead with efficiency drives and targeted innovation. In China, subsidiary Yeo Hiap Seng (Guangdong) Food & Beverages Ltd has entered into a manufacturing cooperation and facility-lease agreement with a third party. The arrangement is expected to lower production costs, generate leasing income and allow management to focus on brand development and route-to-market execution. The group does not expect a material financial impact from these changes in FY2026.

Backed by a cash balance of S$185.6 million, the company said it will maintain selective investments in core growth areas while exercising “rigorous cost discipline” to support longer-term expansion.