Tiong Nam Logistics Holdings: A Strong Financial Performance and Positive Outlook

In a remarkable financial performance for the fourth quarter of 2025, Tiong Nam Logistics Holdings Bhd, a leading Malaysian logistics company, reported a fourfold increase in net profit, reaching RM42.96 million from RM10.60 million in the same quarter of the previous year. This significant growth is primarily attributed to a positive fair value adjustment on its investment properties, which include its logistics warehousing assets. The company’s earnings per share for the quarter ended March 31, 2025, surged to 8.15 sen from 2.06 sen a year ago, as disclosed in its bourse filing.

The company’s revenue also saw a robust increase of 18.24% to RM228.68 million from RM193.39 million in the fourth quarter of the previous fiscal year. This growth was supported by higher income from the logistics and warehousing services segment, alongside increased property development revenue. Specifically, revenue from logistics and warehousing services rose by 21.5% year-on-year to RM218.3 million, driven by an uptick in business from both existing and new clients.

Despite the impressive quarterly performance, Tiong Nam’s full-year net profit for FY2025 experienced a decline of 27.47% to RM41.54 million from RM57.27 million in FY2024. This decrease was largely due to the absence of higher fair value gains recorded in the previous year and increased operating and finance costs associated with the expansion of warehouse assets.

Looking ahead, Tiong Nam Logistics Holdings is optimistic about its performance in FY2026. The company anticipates benefiting from Malaysia’s resilient economic growth and the strengthening of regional trade. As supply chains recalibrate across Asia, Tiong Nam is well-positioned to serve as a vital connection in logistics networks. The company’s managing director, Ong Yoong Nyock, expressed confidence in the company’s ability to capitalize on these trends, highlighting the expansion of logistics and warehousing services as a key growth driver.

In line with its forward-looking strategy, Tiong Nam is expanding its warehousing capacity, with plans to increase total storage space from 960,000 square feet as of March 31, 2025, to 1.11 million square feet by FY2028. This expansion includes the addition of nine new warehouses in Malaysia, underscoring the company’s commitment to meeting the growing demand for logistics and warehousing services.

As of the close of trading on May 26, 2025, Tiong Nam’s share price experienced a slight decrease of 1.5%, settling at 65 sen. Despite this, the company’s market capitalization stood at RM3.43 billion, reflecting its strong position in the logistics sector.

In summary, Tiong Nam Logistics Holdings has demonstrated a strong financial performance in the fourth quarter of 2025, driven by strategic investments and a robust logistics and warehousing services segment. With a positive outlook for FY2026 and ongoing expansion plans, the company is well-equipped to navigate the evolving logistics landscape and capitalize on emerging opportunities in the region.