PETALING JAYA: XL Holdings Bhd will explore cost-effective feed alternatives in its hatchery operations and continue to adopt climate-resilient farming practices to mitigate rising input costs.
Executive chairman Ng Min Lin said XL Holdings is also working closely with research institutions to enhance its cultivation techniques, particularly in seaweed farming, which presents both commercial potential and environmental benefits.
“Looking ahead, XL Holdings remains committed to identifying opportunities that align with its core business strengths and contribute meaningfully to its long-term growth strategy.
“The group’s proactive approach reflects its commitment to innovation and strategic expansion within the agriculture and aquaculture sectors. The board remains optimistic about XL Holdings’ ability to scale operations and improve financial performance sustainably,“ Ng said in the company’s annual report filed with Bursa Malaysia.
Notably, XL Holdings’ fish farming segment specialises in the breeding and trading of ornamental and tropical fish, with operations based in Batu Pahat, Johor. Its activities include the captive breeding of premium species. In addition to breeding, the segment supports the distribution and sale of aquaculture products, encompassing both its own stock and externally sourced aquatic species.
Elaborating, Ng said XL Holdings’ sustainability remains a cornerstone of its strategy.
“We are committed to strengthening our ESG (environmental, social and governance) practices, including better monitoring of our environmental footprint and aligning with national sustainability goals. The group will also explore opportunities to leverage green incentives and collaborate on biodiversity conservation projects that support our aquaculture activities.”
On earnings, XL Holdings reported revenue of RM109.1 million for the financial year ended April 30, 2025 (FY25), an increase of RM38.6 million or 54.7% compared to RM70.5 million in FY24.
The growth was primarily attributable to the strong performance in the food segment and continued contribution from the growing crop segment.
Despite the increased revenue, gross profit (GP) rose at a more moderate pace of 13.2% to RM26.3 million, reflecting a shift in revenue mix and pressure on certain segment margins.
As a result, the gross profit margin declined from 33% in FY24 to 24.1% in FY25. The group recorded a significant improvement in profit before tax, which increased by RM3.5 million or 50.4% to RM10.4 million in FY25, demonstrating operational resilience and efficiency.
Net profit increased to RM9.8 million, up by 40.5% compared to RM7 million in the prior year.
In FY25, the group’s revenue reached RM109.1 million, reflecting a substantial year-on-year increase of RM38.6 million or 54.7%, compared to RM70.5 million in FY24.
This robust growth was mainly driven by the strong performance in the food and growing crop segments, with improved contributions from other business units.
The food segment remained the group’s core revenue contributor, generating RM80.7 million or 74% of total revenue
in FY25, up from RM44.3 million or 62.7% in the previous year. The increase was driven by higher market demand for ready-to-eat and trading products across domestic and regional markets.
The growing crop segment also continued its upward trajectory, contributing RM10.5 million or 9.6% of total revenue in FY25, compared to RM8.6 million or 12.2% in FY24. The improved performance reflects higher pineapple and sucker sales following better yields from maturing plantations under Ergobumi, the group’s agriculture unit.
The merchandise segment, which was previously the second-largest contributor in FY24, recorded a slight decline in revenue to RM11.0 million in FY25, representing 10.1% of total revenue, down from RM13.1 million, or 18.6% in the prior year.The relative decrease in revenue share reflects the faster growth of other segments rather than a significant decline in merchandise performance.
In FY25, fish farming and other segments remained stable, with fish farming contributing RM5.6 million and other
operations, including hatchery and seaweed trading, contributing RM1.3 million.
The investment holding segment remained negligible.
XL Holdings said these changes in revenue contribution reflect the stronger performance of specific segments during the year, particularly in food trading and agriculture.
Moving on, the encouraging results highlight the potential of these business units to contribute to the group’s overall profitability in the coming financial year, it noted.
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