Dufu stays cautious amid US tariffs as 2Q profit drops 66.8%

KUALA LUMPUR: Dufu Technology Corp Bhd said it is still too early to assess the full impact of the recent tariffs imposed by the United States.

“Given the evolving nature of global trade policies, we are closely monitoring developments to evaluate potential implications.

“At this stage, we remain cautious but proactive, staying prepared to adapt our strategies as more information becomes available,” the precision machining and engineering company said in a filing with Bursa Malaysia.

Dufu said the sweeping tariffs announced by the US in April 2025 have caused more than just an economic impact, with both business and consumer confidence starting to weaken.

It said the rise in protectionism is damaging and unpredictable, creating uncertainty that is leading businesses to delay investments and reevaluate long-term strategies.

“To navigate the risks posed by protectionist policies and global trade uncertainty, Dufu will remain agile by adopting key strategies focused on cost containment and operational efficiency, including continued streamlining of operations, reduction of overheads, and enhancement of productivity to sustain profit margins amid rising costs,” it said.

Dufu’s net profit tumbled 66.8% to RM2.8mil, or earnings per share of 0.50 sen in the second quarter ended June 30 (2Q25), compared with RM8.4mil, or 1.60 sen a year ago, mainly due to higher foreign exchange loss.

Revenue, however, rose to RM68.2mil from RM65mil, driven mainly by higher contributions from hard disk drive (HDD) component sales.

In the first six months, Dufu posted a net profit of RM9.7mil on revenue of RM135.1mil.