Olam Group has reported net profit after tax and minority interests (PATMI) of S$1.91 billion for the six months ended Jun 30, up 488.7 % year-on-year, lifted by a one-off S$1.75 billion gain from the sale of a 44.58 % stake in Olam Agri and the disposal of IT arm Mindsprint, as well as a fair-value uplift on put-and-call options for Olam Agri’s remaining shares.
Group revenue fell 18.3 % to S$12.47 billion, reflecting markedly lower cocoa and coffee prices at ingredients arm ofi and softer volumes at Olam Global Holdings (OGH). Earnings before interest and tax (EBIT) slipped 34.2 % to S$455.0 million; excluding sizeable foreign-exchange revaluation gains booked a year earlier, underlying EBIT was about 10 % lower. Operational PATMI declined 50.0 % to S$163.7 million, but, on a continuing-operations basis, rose S$84.7 million to S$64.4 million after normalising for exceptional items.
The board declared total dividends of 7.0 Singapore cents a share, split into an interim ordinary dividend of 1.0 cent and a special dividend of 6.0 cents. Distribution dates were not disclosed.
Segmentally, ofi—the cocoa, coffee, dairy, nuts, spices and ingredients platform—generated S$12.02 billion in revenue, down 18.1 % YoY, while EBIT eased 4.9 % to S$509.7 million, supported by what management described as resilient earnings amid volatile input markets and a weaker US dollar. OGH’s turnover dropped 23.6 % to S$444.7 million following the closure of the Jiva trading unit and softer sales at Olam Palm Gabon; it swung to an EBIT loss of S$54.7 million after the absence of last year’s US$142 million foreign-exchange gains.
Lower working-capital needs and divestment proceeds turned free cash flow to equity positive at S$1.7 billion, compared with an outflow of S$945.3 million a year earlier. Net gearing was cut to 0.93 times from 2.09 times as the group deleveraged with sale proceeds and reduced inventory-linked borrowings.
Management said the simplified corporate structure and lighter balance sheet will underpin future growth. The group plans additional disposals under its re-organisation programme, including the remaining stake in ARISE Ports & Logistics. Within ofi, a review of almond, coffee, pepper and cocoa plantations is under way to sharpen capital allocation.
Looking ahead, the company expects continued geopolitical tension, evolving trade policies and weather-related risks to keep markets volatile for the rest of 2026. Even so, ofi is targeting low- to mid-single-digit volume growth and high single-digit adjusted EBIT growth over the medium term. OGH will monitor external conditions—particularly any escalation of conflict in the Middle East—while focusing on maintaining operational resilience and executing orderly asset sales.
Chief executive ofi A. Shekhar noted that the first-half divestments have “significantly strengthened” the balance sheet, allowing for selective investment in growth opportunities while preserving capital discipline. Chief financial officer Venkataraman Krishnan added that the results mark “a less complex, more focused and financially stronger” organisation, with emphasis on completing OGH’s monetisation programme. OGH chief executive Gautam Wadhwa said three businesses have already been sold or wound down and reiterated commitment to “responsibly divest and monetise” the remaining portfolio over time.