JUMBO Group H1 profit falls to $6.2m on rising costs

Earnings slid despite stronger top line expansion in Singapore and China outlets.

JUMBO Group Limited reported a decline in profit for the six months ended 31 March 2026 to $6.2m from $7.9m a year earlier, despite higher revenue growth across Singapore and China operations.

Revenue rose 7.9% to $105.1m in the first half (H1) of 2026 from $97.3m in H12025. Singapore revenue increased 9.9% to $92.7m, supported by new outlets, whilst China revenue rose 11.5% to $10.7m, driven by targeted marketing initiatives and customer engagement efforts.

Cost of sales increased 6.9% to $35.9m in line with higher revenue.

However, operating expenses rose at a faster pace due to higher employee benefit costs, lease expenses, utilities, and other operating expenses, reflecting wage adjustments, higher headcount to support new outlets, increased activity levels, and expanded premises.

Basic earnings per share (EPS) fell to 1.0 cent from 1.3 cents a year earlier. Diluted EPS also stood at 1.0 cent versus 1.3 cents previously, as the weighted average number of ordinary shares remained broadly stable at about 601 million shares.

The company declared an interim tax-exempt one-tier dividend of 0.5 cents per share.

Looking ahead, JUMBO Group expects a challenging operating environment over the next 12 months, citing weak consumer sentiment, macroeconomic uncertainty, and geopolitical tensions.

It also expects intense competition in Singapore and continued sensitivity in the China market, and plans to focus on outlet performance, productivity, marketing effectiveness, and cost control.