Padini’s 1Q profit jumps 76.9%, declares 1.8 sen dividend

KUALA LUMPUR: Padini Holdings Bhd said the retail sector continues to face pressure from weakening purchasing power, higher costs, inflation and interest rates, alongside trade tensions.

“Despite these potential challenges, we are optimistic that the group will perform satisfactorily for the current financial year.

“Management will continue to provide value for money products and implement measures to control costs, optimise working capital, preserve cash and streamline the operations to minimise any adverse impacts,” Padini said in the notes accompanying its financial results.

The owner and operator of fashion retail outlets saw its net profit jump 76.9% to RM20.4mil in the first quarter ended Sept 30, compared with RM11.5mil in the year-ago quarter.

Revenue for the quarter climbed 2.01% to RM401mil against RM393.1mil in the year-ago period, while earnings per share rose to 2.07 sen from 1.17 sen a year earlier.

Padini said the improved performance was primarily driven by higher top-line revenue from a better sales mix, supported by an improved gross profit margin, which rose from 36% to 40%.

The company has declared a second interim dividend of 1.8 sen per ordinary share (single tier) for the financial year ending June 30, 2026, payable in December 2025.