JB Foods Limited returned to the black in the 12 months ended 31 Mar 2026, posting profit before tax of US$107.1 million against a loss of US$24.2 million a year earlier, as tighter cost control, improved contractual margins and stronger hedging results offset lower sales volumes and an inventory write-down.

Revenue slipped 4.5% year-on-year to US$1.39 billion, while EBITDA jumped almost ten-fold to US$139.7 million. The board has proposed a final dividend of 4.50 Singapore cents per share; the prior-year comparative was not disclosed.

Profitability strengthened despite the 2026 revenue dip. Management attributed the turnaround mainly to disciplined cost optimisation and favourable trading positions that cushioned a US$79.3 million write-down of cocoa inventories to net realisable value after the sharp fall in global cocoa prices. Operating cash flow showed an outflow of US$25.1 million, compared with an inflow of US$147.9 million in FY2025, as the group deliberately reduced supplier credit and restructured borrowings to lower financing costs.

JB Foods said the easing of cocoa prices from 2024’s peaks and gradual normalisation of customer purchasing patterns underpinned a recovery in contract profitability. The company continued to refine its funding mix and working-capital cycle to reinforce balance-sheet resilience amid higher interest rates.

Chief executive officer Tey How Keong noted that FY2026 marked a “significant milestone” following two years of extreme cocoa-market volatility. He indicated that the rebound was driven by improved operational execution, prudent hedging and disciplined cost control, while emphasising that the group will keep a “prudent and balanced” approach to capital management to support future expansion and inventory requirements.

Looking ahead, JB Foods expects market conditions to remain volatile, citing uncertainties around global trade flows, freight and energy costs, currency movements, weather patterns and geopolitical tensions. Nonetheless, the company sees signs of a gradual recovery in customer restocking as cocoa prices stabilise and plans to focus on disciplined pricing, continued hedging, efficiency improvements and tighter working-capital management to sustain long-term growth.