GKE Corporation has reported lower earnings of $1.87 million for the 1HFY2026 ended Nov 30, 2025, down 57.5% y-o-y.
Revenue for the period grew 5.3% y-o-y to $66.53 million, while gross profit declined 9.2% y-o-y to $17.67 million.
Earnings per share for 1HFY2026 declined 57.9% y-o-y to 0.24 cents.
The group’s revenue increase was due to contribution from the retail and distribution segment and a slight growth in agriculture. This was partially offset by a decrease in revenue from the infrastructural materials & services segment due to lower sales volume of ready-mix concrete.
The group’s gross profit decline is due to the business nature of the retail and distribution segment and a decrease in gross margin of the warehousing & logistics segment due to start-up expenses in Dubai and the temporary reduction in storage capacity.
CEO and executive director of the group Neo Cheow Hui said that the group anticipated lower profits during this phase due to its planned expansions which required substantial investments and efforts resulting in temporary decline in financial performance.
The group’s warehousing & logistics segment has been affected by the import tariff imposed by the US has caused a slowdown in manufacturing industries along with the start-up expenses incurred in Dubai and the temporary reduction in storage capacity due to ongoing additions and alterations work at 7 Kwong Min Road of GKE Marquis.
Furthermore, the unexpected unusually heavy rainfall in Guangxi, China, where the group operates its infrastructural materials & services business, had adversely affected its performance in 1HFY2026.
The board of GKE has declared an interim cash dividend of 0.05 cents.
