Duty Free International Limited reported a net profit of RM5.5 million for the nine months ended 30 Nov 2025, tumbling 86.2 per cent from RM39.8 million a year earlier as last year’s one-off RM69.6 million gain from compulsory land acquisition did not recur.

Group revenue, however, rose 13.7 per cent year-on-year (YoY) to RM132.7 million, lifted by the consolidation of newly acquired automotive components maker United Industries Holdings, which was brought on board on 31 Oct 2025.

Earnings per share fell to 0.46 sen from 3.32 sen in the prior period. No dividend was declared for the quarter; the company had paid a first interim dividend of S$0.00165 per share on 6 Aug 2025.

By segment, the duty-free and non-dutiable merchandise arm remained the main contributor with pre-tax earnings of RM11.0 million, though this was sharply lower than the RM47.0 million posted a year earlier. The newly consolidated automotive components division added RM1.7 million in pre-tax profit for its inaugural month in the group, while investment holding and other activities booked RM20.8 million. Inter-segment eliminations of RM24.3 million reduced group pre-tax profit to RM9.3 million, down 78.2 per cent YoY.

On the cost side, employee benefits fell 41.7 per cent to RM10.0 million after staff-related compensation linked to last year’s Bukit Kayu Hitam outlet closure was not repeated. Professional fees contracted 85.8 per cent YoY following the prior-year legal and advisory expenses tied to the land acquisition dispute. These savings were partly offset by a RM44.0 million jump in inventories purchased and materials consumed, reflecting the addition of the automotive parts business.

The closure of the Bukit Kayu Hitam duty-free complex continued to weigh on retail turnover, while a stronger ringgit generated a RM1.2 million unrealised foreign-exchange loss against a small gain last year.

Looking ahead, the group expects retail conditions to stay challenging amid inflation-linked cost pressures and cautious consumer spending. Management said it will focus on cost control and resource optimisation while integrating United Industries to build a more diversified earnings base. The automotive unit plans to tap its customer network to pursue opportunities with electric and hybrid vehicle manufacturers, positioning itself for changing industry trends.