Riverstone Holdings Limited booked net profit of RM106.9 million for the six months ended Jun 30, up 5.0% year-on-year, as stronger orders for its specialised cleanroom gloves and firmer healthcare pricing offset a weaker first quarter and currency headwinds.
Group revenue slipped 3.2% YoY to RM480.9 million, while diluted earnings per share rose to 7.21 sen from 6.87 sen. The board declared an interim dividend of 5.0 sen per ordinary share for 1H2026, representing a 69.3% payout ratio and an annualised yield of about 3.8% based on the prevailing share price; no comparative interim dividend was disclosed for the prior-year period.
In the second quarter alone, revenue climbed 24.5% quarter-on-quarter to RM266.7 million as cleanroom demand from data-centre and memory-storage customers strengthened. Gross profit expanded 54.8% QoQ to RM96.0 million, lifting the margin to an eight-quarter high of 36.0% on improved average selling prices in the healthcare segment. Group profit before tax rose 62.7% QoQ to RM85.9 million. Riverstone did not provide a numerical breakdown of pre-tax earnings by business segment.
Headwinds persisted in the form of a softer US dollar, lower interest income and intense competition in generic healthcare gloves. Other income fell to RM8.1 million in 1H2026, while the effective tax rate inched up to 23.0% from 22.4% a year earlier. Cash and cash equivalents stood at RM576.0 million at end-June, down from RM630.4 million six months earlier after payment of final and special dividends for FY2025.
Riverstone is pressing on with capacity renewal to replace ageing production lines and pivot further toward higher-margin cleanroom and customised healthcare solutions. Management said the strategy aims to mitigate raw-material price volatility, currency swings and evolving US tariff policies that continue to cloud the operating outlook.
Executive chairman and chief executive Wong Teek Son noted that the cleanroom segment continued to benefit from AI-related demand, while a recovery in healthcare glove pricing supported margins despite ongoing competitive pressures. He added that the group remains “cautiously optimistic” about its long-term growth prospects and will maintain disciplined cost control and shareholder returns alongside its expansion into value-added products.