PPB GROUP BERHAD — Interim / Quarterly Report 2026

May 25, 2026

PPB GROUP BERHAD [196801000571 (8167-W)]
Unaudited Condensed Consolidated Income Statements For The Financial Period Ended 31 March 2026

| | 1st Quarter ended
31 March | | 3 Months ended
31 March | |
| --- | --- | --- | --- | --- |
| | 2026 | 2025 | 2026 | 2025 |
| | RM'000 | RM'000 | RM'000 | RM'000 |
| Revenue | 1,285,326 | 1,351,126 | 1,285,326 | 1,351,126 |
| Cost of sales | (1,134,816) | (1,179,303) | (1,134,816) | (1,179,303) |
| Gross profit | 150,510 | 171,823 | 150,510 | 171,823 |
| Other operating income | 9,587 | 44,889 | 9,587 | 44,889 |
| Distribution costs | (50,786) | (49,974) | (50,786) | (49,974) |
| Administrative expenses | (65,479) | (56,850) | (65,479) | (56,850) |
| Other expenses | (1,217) | (673) | (1,217) | (673) |
| Share of results of associates | 218,849 | 309,699 | 218,849 | 309,699 |
| Share of results of joint venture | - | (46) | - | (46) |
| Finance costs | (6,214) | (8,521) | (6,214) | (8,521) |
| Profit before taxation | 255,250 | 410,347 | 255,250 | 410,347 |
| Tax expense | (12,044) | (17,251) | (12,044) | (17,251) |
| Profit for the period | 243,206 | 393,096 | 243,206 | 393,096 |
| Attributable to : | | | | |
| Owners of the parent | 234,020 | 375,827 | 234,020 | 375,827 |
| Non-controlling interests | 9,186 | 17,269 | 9,186 | 17,269 |
| Profit for the period | 243,206 | 393,096 | 243,206 | 393,096 |
| Basic earnings per share (sen) | 16.45 | 26.42 | 16.45 | 26.42 |

(The Unaudited Condensed Consolidated Financial Statements should be read in conjunction with the audited financial statements for the year ended 31 December 2025)

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PPB GROUP BERHAD [196801000571 (8167-W)]
Unaudited Condensed Consolidated Statements Of Comprehensive Income
For The Financial Period Ended 31 March 2026

| | 1st Quarter ended
31 March | | 3 Months ended
31 March | |
| --- | --- | --- | --- | --- |
| | 2026
RM'000 | 2025
RM'000 | 2026
RM'000 | 2025
RM'000 |
| Profit for the period | 243,206 | 393,096 | 243,206 | 393,096 |
| Other comprehensive (loss)/income, net of tax | | | | |
| Items that will not be subsequently reclassified
to profit or loss | | | | |
| Fair value loss on investment in equity
instruments designated as fair value through
other comprehensive income | (1,784) | (12,191) | (1,784) | (12,191) |
| Share of associates' other comprehensive
income/(loss) | 15,987 | (3,500) | 15,987 | (3,500) |
| Items that will be subsequently reclassified
to profit or loss | | | | |
| Exchange differences on translation of foreign
operations | (65,304) | (218,947) | (65,304) | (218,947) |
| Share of associates' other comprehensive
(loss)/income | (67,677) | 58,271 | (67,677) | 58,271 |
| Total comprehensive income | 124,428 | 216,729 | 124,428 | 216,729 |
| Attributable to : | | | | |
| Owners of the parent | 117,154 | 201,529 | 117,154 | 201,529 |
| Non-controlling interests | 7,274 | 15,200 | 7,274 | 15,200 |
| Total comprehensive income | 124,428 | 216,729 | 124,428 | 216,729 |

(The Unaudited Condensed Consolidated Financial Statements should be read in conjunction with the audited financial statements for the year ended 31 December 2025)

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PPB GROUP BERHAD [196801000571 (8167-W)]
Unaudited Condensed Consolidated Statements Of Financial Position

ASSETS	As at 31-Mar-26 RM'000	As at 31-Dec-25 RM'000
Non-current assets
Property, plant and equipment	1,203,473	1,187,671
Investment properties	359,027	359,517
Right-of-use assets	344,928	356,602
Bearer plants	3,802	3,793
Land held for property development	137,918	137,918
Goodwill	74,547	70,232
Other intangible assets	15,360	16,618
Investment in associates	18,109,173	18,004,279
Other investments	330,312	332,010
Deferred tax assets	23,921	22,142
Total non-current assets	20,602,461	20,490,782
Current assets
Inventories	804,609	768,393
Biological assets	18,494	18,809
Property development costs	7,149	6,577
Trade receivables	563,706	631,569
Other receivables	182,552	140,442
Derivative financial assets	9,828	12,037
Current tax assets	9,274	9,555
Cash and bank balances	2,008,206	2,039,260
Total current assets	3,603,818	3,626,642
TOTAL ASSETS	24,206,279	24,117,424
EQUITY AND LIABILITIES
Equity
Share capital	1,429,314	1,429,314
Reserves	20,811,692	20,688,388
Equity attributable to owners of the parent	22,241,006	22,117,702
Non-controlling interests	638,128	633,181
Total equity	22,879,134	22,750,883

Page 3 of 16

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Page 4 of 16

PPB GROUP BERHAD [196801000571 (8167-W)]
Unaudited Condensed Consolidated Statements Of Financial Position
(continued)

| | As at
31-Mar-26
RM'000 | As at
31-Dec-25
RM'000 |
| --- | --- | --- |
| Non-current liabilities | | |
| Borrowings | 202 | - |
| Lease obligations | 320,282 | 331,857 |
| Deferred tax liabilities | 141,251 | 140,328 |
| Provision for restoration cost | 50,616 | 50,616 |
| Total non-current liabilities | 512,351 | 522,801 |
| Current liabilities | | |
| Trade payables | 322,594 | 260,304 |
| Other payables | 236,034 | 283,525 |
| Contract liabilities | 30,458 | 25,310 |
| Derivative financial liabilities | 12,718 | 11,783 |
| Borrowings | 144,608 | 192,857 |
| Lease obligations | 52,681 | 52,034 |
| Current tax liabilities | 15,701 | 17,927 |
| Total current liabilities | 814,794 | 843,740 |
| Total liabilities | 1,327,145 | 1,366,541 |
| TOTAL EQUITY AND LIABILITIES | 24,206,279 | 24,117,424 |

(The Unaudited Condensed Consolidated Financial Statements should be read in conjunction with the audited financial statements for the year ended 31 December 2025)

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PPB GROUP BERHAD [196801000571 (8167-W)]

Unaudited Condensed Consolidated Statements Of Changes In Equity For The Financial Period Ended 31 March 2026

	Share capital RM'000	Non-distributable reserves RM'000	Retained earnings RM'000	Attributable to owners of the parent RM'000	Non-controlling interests RM'000	Total equity RM'000
3 Months ended 31 March 2026
At 1 January 2026	1,429,314	2,447,208	18,241,180	22,117,702	633,181	22,750,883
Profit for the period	-	-	234,020	234,020	9,186	243,206
Other comprehensive loss	-	(116,866)	-	(116,866)	(1,912)	(118,778)
Total comprehensive (loss)/income	-	(116,866)	234,020	117,154	7,274	124,428
Transfer of reserves	-	42,590	(42,590)	-	-	-
Share of other changes in equity of associates	-	6,150	-	6,150	-	6,150
Dividends paid to non-controlling interests of a subsidiary	-	-	-	-	(2,327)	(2,327)
At 31 March 2026	1,429,314	2,379,082	18,432,610	22,241,006	638,128	22,879,134
3 Months ended 31 March 2025
At 1 January 2025	1,429,314	3,520,879	21,622,958	26,573,151	641,434	27,214,585
Profit for the period	-	-	375,827	375,827	17,269	393,096
Other comprehensive loss	-	(174,298)	-	(174,298)	(2,069)	(176,367)
Total comprehensive (loss)/income	-	(174,298)	375,827	201,529	15,200	216,729
Transfer of reserves	-	46,637	(46,637)	-	-	-
Share of other changes in equity of associates	-	8,291	-	8,291	-	8,291
At 31 March 2025	1,429,314	3,401,509	21,952,148	26,782,971	656,634	27,439,605

(The Unaudited Condensed Consolidated Financial Statements should be read in conjunction with the audited financial statements for the year ended 31 December 2025)

Page 5 of 16

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PPB GROUP BERHAD [196801000571 (8167-W)]
Unaudited Condensed Consolidated Statements Of Cash Flows
For The Financial Period Ended 31 March 2026

	3 Months ended 31 March
	2026	2025
	RM'000	RM'000
CASH FLOWS FROM OPERATING ACTIVITIES
Profit before taxation	255,250	410,347
Adjustments:
Non-cash items	(170,648)	(279,808)
Non-operating items	(10,352)	(6,992)
Operating profit before working capital changes	74,250	123,547
Working capital changes:-
Net change in current assets	(2,843)	148,611
Net change in current liabilities	13,066	(3,581)
Cash generated from operations	84,473	268,577
Tax paid	(16,086)	(22,503)
Net cash generated from operating activities	68,387	246,074
CASH FLOWS FROM INVESTING ACTIVITIES
Addition of property, plant and equipment, investment properties, biological assets and other intangible assets	(28,584)	(68,483)
Proceeds from disposal of property, plant and equipment	210	279
Acquisition of a subsidiary	(26,630)	-
Withdrawal of fixed deposits	104,958	-
Dividends received	3,513	9,177
Income received from short-term fund placements	-	11,943
Interest received	22,507	3,956
Advances to associates	(123)	(416)
Net cash generated from/(used in) investing activities	75,851	(43,544)
CASH FLOWS FROM FINANCING ACTIVITIES
Repayment of bank borrowings	(49,989)	(80,858)
Interest paid	(2,203)	(3,817)
Dividends paid to non-controlling interests of subsidiaries	(2,327)	-
Payment of lease obligations	(14,088)	(16,383)
Net cash used in financing activities	(68,607)	(101,058)
Net increase in cash and cash equivalents	75,631	101,472
Cash and cash equivalents brought forward	1,116,541	1,660,658
Effect of exchange rate changes	(1,727)	(1,038)
Cash and cash equivalents carried forward	1,190,445	1,761,092
Cash and cash equivalents represented by:
Cash and bank balances	386,825	184,223
Bank deposits	1,621,381	193,308
Short-term fund placements	-	1,383,561
	2,008,206	1,761,092
Less: Fixed deposits with tenure more than 3 months	(817,761)	-
Cash and cash equivalents	1,190,445	1,761,092

(The Unaudited Condensed Consolidated Financial Statements should be read in conjunction with the audited financial statements for the year ended 31 December 2025)

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PPB GROUP BERHAD [196801000571 (8167-W)]

NOTES

A1. Accounting policies

The interim financial statements of the Group have been prepared in accordance with the requirements of Malaysian Financial Reporting Standards ("MFRS") MFRS 134 Interim Financial Reporting and Chapter 9, Part K of the Main Market Listing Requirements of Bursa Malaysia Securities Berhad ("BMSB").

The accounting policies and methods of computation used in the preparation of the interim financial statements are consistent with those used in the preparation of the audited financial statements for the financial year ended 31 December 2025 except for the adoption of the following Amendments to MFRS effective for financial periods beginning on or after 1 January 2026 :

• Amendments to MFRS 9 and MFRS 7 : Classification and Measurement of Financial Instruments
• Amendments to MFRS 9 and MFRS 7 : Contracts Referencing Nature-dependent Electricity
• Annual Improvements to MFRS Accounting Standards - Volume 11

The adoption of the above Amendments to MFRS did not have any material impact on the condensed financial statements in the period of initial application.

A2. Seasonality or cyclicality of interim operations

The Group's operations are not materially affected by any seasonal or cyclical factors.

A3. Exceptional or unusual items

There were no exceptional and unusual items for the financial period ended 31 March 2026.

A4. Nature and amount of changes in estimates

There were no changes in estimates of amounts reported in the previous financial year which have a material effect in the current interim period.

A5. Issuances, cancellations, repurchases, resale and repayments of debt and equity securities

There were no issuance or repayment of debt and equity securities, share buy-backs, share cancellations, shares held as treasury shares and resale of treasury shares for the current financial period-to-date.

A6. Dividends paid

No dividend was paid during the financial period under review.

Page 7 of 16

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PPB GROUP BERHAD [196801000571 (8167-W)]

A7. Segmental reporting

Performance of the Group's business segments for the financial period ended 31 March 2026 is as follows :

Business segments: All figures in RM'000	Film exhibition and distribution
	Grains and agribusiness	Consumer products	Property	Other operations	Inter-segment elimination	Total
REVENUE
External revenue	897,267	247,252	124,624	15,831	352	-	1,285,326
Inter-segment sales	22,975	1,983	-	211	-	(25,169)	-
Total revenue	920,242	249,235	124,624	16,042	352	(25,169)	1,285,326
RESULTS
Segment results	45,158	(3,242)	(10,238)	1,946	11,420	-	45,044
Share of results of associates	18,484	1,199	2,921	339	195,906	-	218,849
Unallocated corporate expenses	-	-	-	-	-	-	(8,643)
Profit/(Loss) before taxation	63,642	(2,043)	(7,317)	2,285	207,326	-	255,250

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PPB GROUP BERHAD [196801000571 (8167-W)]

A8. Material events subsequent to the end of the interim period

There were no material events or transactions since the end of the financial period to the date of this announcement which may materially affect the results of the Group.

A9. Changes in the composition of the Group

FFM Berhad ("FFM"), an 80%-owned subsidiary of the Company, had on 25 February 2026 acquired 2,500,000 ordinary shares equivalent to 100% equity interest in Eggtech Manufacturing Sdn Bhd ("EMSB") for a cash consideration of RM30 million. Arising therefrom, EMSB has accordingly become a wholly-owned subsidiary of FFM.

Other than the above, there were no material changes in the composition of the Group arising from business combinations, acquisition or disposal of subsidiaries and long-term investments, restructurings, and discontinued operations for the period ended 31 March 2026.

A10. Changes in contingent liabilities or contingent assets

There were no material changes in contingent assets and liabilities since the end of the previous financial year.

A11. Capital and other commitments

Authorised capital and other commitments not provided for in the financial statements as at 31 March 2026 are as follows:

	RM'000
Property, plant and equipment, investment properties and other intangible assets
- contracted	44,918
- not contracted	268,370
	313,288
Other commitments
- contracted	292,866
Total	606,154

A12. Significant related party transactions

Significant related party transactions during the financial period ended 31 March 2026 are as follows:

	RM'000
Transactions with associates
- Sales of goods	3,127
- Purchase of goods	1,842
Transactions with subsidiaries of associates
- Purchase of goods	150,999
- Sales of goods	50,281
- Security and other service expenses	2,537
- Freight cost	36,561

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PPB GROUP BERHAD [196801000571 (8167-W)]

B1. Performance analysis

Group financial performance by business segment

Business segments: All figures in RM'000
	Grains and agribusiness	Consumer products	Film exhibition and distribution	Property	Other operations	Inter-segment elimination	Total
1Q2026
REVENUE
External revenue	897,267	247,252	124,624	15,831	352	-	1,285,326
Inter-segment sales	22,975	1,983	-	211	-	(25,169)	-
Total revenue	920,242	249,235	124,624	16,042	352	(25,169)	1,285,326
RESULTS
Segment results	45,158	(3,242)	(10,238)	1,946	11,420	-	45,044
Share of results of associates	18,484	1,199	2,921	339	195,906	-	218,849
Unallocated corporate expenses	-	-	-	-	-	-	(8,643)
Profit/(Loss) before taxation	63,642	(2,043)	(7,317)	2,285	207,326	-	255,250
1Q2025
REVENUE
External revenue	994,419	210,660	130,522	15,182	343	-	1,351,126
Inter-segment sales	26,965	1,551	-	211	-	(28,727)	-
Total revenue	1,021,384	212,211	130,522	15,393	343	(28,727)	1,351,126
RESULTS
Segment results	103,879	(324)	(8,745)	1,481	13,148	-	109,439
Share of results of associates	20,627	915	3,733	656	283,768	-	309,699
Share of results of joint venture	-	-	-	-	(46)	-	(46)
Unallocated corporate expenses	-	-	-	-	-	-	(8,745)
Profit/(Loss) before taxation	124,506	591	(5,012)	2,137	296,870	-	410,347
Variance
Revenue (%)	-10%	17%	-5%	4%	3%	12%	-5%
Profit/(Loss) before taxation (%)	-49%	n.m	-46%	7%	-30%	-	-38%

n.m - not meaningful

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PPB GROUP BERHAD [196801000571 (8167-W)]

Group performance review

For 1Q2026, the Group recorded total revenue of RM1.29 billion, a decrease of 5% as compared to RM1.35 billion achieved in 1Q2025. Pre-tax profit was lower by 38% to RM255 million in 1Q2026 (1Q2025: RM410 million). The lower profit was mainly attributable to 31% lower contribution from Wilmar International Limited ("Wilmar") at RM196 million (1Q2025: RM283 million), and lower core business segment profits by 53% to RM59 million (1Q2025: RM127 million).

Grains and agribusiness

Segment revenue for 1Q2026 was lower by 10% to RM897 million (1Q2025: RM994 million), mainly attributable to lower sales from flour and feed sub-segments.

Consequently, segment profit declined by 49% to RM64 million (1Q2025: RM125 million).

Consumer products

Segment revenue for 1Q2026 increased by 17% to RM247 million (1Q2025: RM211 million), supported by the newly acquired Min Tien Group and Eggtech Manufacturing Sdn Bhd.

The segment recorded a loss of RM2.0 million in 1Q2026 (1Q2025: RM591,000 profit). This was attributable to lower sales volume for certain staple food products and higher trade promotion expenses.

Film exhibition and distribution

Segment revenue for 1Q2026 was lower by 5% to RM125 million (1Q2025: RM131 million).

The segment recorded a loss at RM7 million in 1Q2026 (1Q2025 loss: RM5 million), mainly attributable to lower admissions, net box office collection and concession income, and higher cinema operating costs.

Property

Segment revenue for 1Q2026 increased by 4% to RM16 million (1Q2025: RM15 million).

The segment recorded higher profit by 7% to RM2.3 million in 1Q2026 (1Q2025: RM2.1 million), mainly due to better mall performance and profit from sales of properties.

Other operations

Segment profit for 1Q2026 was lower by 30% to RM207 million (1Q2025: RM297 million), mainly attributable by lower contribution from Wilmar by 31% to RM196 million (1Q2025: RM283 million).

B2. Material changes in the quarterly results compared to the results of the preceding quarter

The Group recorded a profit before taxation of RM255 million in 1Q2026, compared with a loss before taxation of RM3.15 billion in 4Q2025.

Excluding the one-off impairment on investment in Wilmar amounting to RM4.17 billion in 4Q2025, the Group's profit before taxation for 1Q2026 was 75% lower than the adjusted profit before taxation of RM1.03 billion recorded in 4Q2025.

Share of profit from Wilmar declined by 79% to RM196 million in 1Q2026 (4Q2025: RM928 million), mainly due to the absence of the gain on remeasurement arising from changes in interest in Adani Wilmar Limited recognised in 4Q2025, which amounted to USD1.14 billion.

The Group's core business segments also recorded lower profit, declining by 40% to RM59 million in 1Q2026 (4Q2025: RM100 million), mainly due to weaker revenue across key business segments.

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PPB GROUP BERHAD [196801000571 (8167-W)]

B3. Prospects

The Malaysian economy recorded a growth of 5.4% in the first quarter of 2026 (4Q2025: 6.3%), driven mainly by resilient domestic demand. Continued growth in household spending was supported by positive labor market conditions, low unemployment levels, and continued targeted policy measures. Investment activity was underpinned by continued implementation of multi-year projects by both the private and public sectors, high realization rate of approved investments, and the ongoing rollout of national master plans.

Heightened geopolitical uncertainty in the Middle East continues to pose material, though manageable, external risks to Malaysia. Whilst Malaysia is not fully insulated from these developments, the country's diversified economic structure, existing policy buffers, and adaptive business strategies provide an important layer of near-term resilience.

For 2026, Malaysia's economic growth is projected to be within a range of 4% to 5%, supported primarily by continued domestic demand and export activities.

The Middle East conflicts have created a cascading cost environment, particularly arising from global supply disruption in fuel, energy, and petrochemical-derived materials. The Group continues to closely monitor these developments and actively manage their implications on cost pressures across the value chain.

For the Grain and Agribusiness segment, the Group will continue to strengthen its grains procurement strategy through diversified sourcing to mitigate supply disruptions and price volatility arising from adverse weather conditions in key grains-producing regions. The strengthening of the Malaysian Ringgit against the US dollar has also provided some relief to grain importers amid ongoing costs and margin pressures.

On the domestic front, where the Group operates and derives the majority of its revenue, the segment will continue to uphold consistent product quality, drive operational efficiency, and provide value-added technical services to support volume growth and sustain revenue generation.

Amid the evolving and challenging operating landscapes, the Group remains resilient and is cautiously optimistic that the Grains and Agribusiness segment will continue to deliver satisfactory performance for the remainder of the year.

The Consumer Products segment will continue to widen its product range and introduce new offerings, supported by strategic portfolio expansion initiatives, to meet evolving consumer spending patterns and growing value-driven demand, whilst further strengthening its market presence.

Despite challenges arising from margin compression as well as higher operating costs, the Group expects the segment to deliver satisfactory performance by leveraging its established distribution network and logistics capabilities.

The Film Exhibition and Distribution segment registered a softer performance in the first quarter of 2026 compared with the corresponding period last year, primarily due to a more subdued market environment and a weaker movie release slate.

Looking ahead, the segment remains cautiously optimistic on its prospects. Performance is expected to improve progressively over the coming quarters, underpinned by a stronger line up of Hollywood and local titles. Management's ongoing initiatives to enhance cinema offerings, optimize screening strategies and broaden non-ticket revenue streams are also expected to contribute positively to performance.

The Property segment recorded an improvement in performance during the first quarter of 2026. The development of Lumina Bedong Township is progressing well with stable sales momentum. The segment will continue to drive sales through ongoing marketing campaigns and promotional initiatives.

Strategic asset enhancement initiatives and upgrading works at our investment properties remain a key focus this year to support sustainable occupancy levels, improve footfalls, and enhance the overall shoppers' experience.

Wilmar's performance will continue to contribute substantially to the overall profitability of the Group.

Page 12 of 16

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PPB GROUP BERHAD [196801000571 (8167-W)]

B4. Variance of actual profit from forecast profit

Not applicable.

B5. Profit before taxation

	1st Quarter ended 31-Mar-26 RM'000
Profit before taxation was stated after crediting/(charging):
Interest income and income from short-term fund placements	16,471
Dividend income	95
Net foreign exchange loss	(4,521)
Net fair value loss on derivatives	(10,186)
Net impairment on receivables	(313)
Depreciation and amortisation	(45,576)
Interest expense on lease obligations	(4,026)

B6. Tax expense

	1st Quarter ended 31-Mar-26 RM'000
Taxation based on the profit for the financial period:
Malaysian taxation:
Current tax expense	(13,034)
Deferred tax credit	1,893
	(11,141)
Foreign taxation:
Current tax expense	(1,437)
Deferred tax credit	29
	(12,549)
Over/(Under) provision in prior years:
Current tax	776
Deferred tax	(271)
	(12,044)

The Group's effective tax rate was higher than the statutory rate, mainly due to non-deductible expenses.

B7. Status of corporate proposals

There were no corporate proposals announced but not completed.

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PPB GROUP BERHAD [196801000571 (8167-W)]

B8. Group borrowings

Total Group borrowings as at 31 March 2026 were as follows:

| | Total
RM'000 | Secured
RM'000 | Unsecured
RM'000 |
| --- | --- | --- | --- |
| Long-term bank borrowings | | | |
| Hire purchase financing | 202 | 202 | - |
| | 202 | 202 | - |
| Short-term bank borrowings | | | |
| Revolving credit (RM) | 29,000 | 20,000 (a) | 9,000 |
| Short-term loan (RM) | 10,300 | 10,300 (a) | - |
| Short-term loan (VND) | 105,250 | 5,086 (b) | 100,164 |
| Hire purchase financing | 58 | 58 | - |
| | 144,608 | 35,444 | 109,164 |

All of the above borrowings are unsecured except for the following:

(a) The RM-denominated term loan and revolving credits are secured by a corporate guarantee from a subsidiary.
(b) The VND-denominated term loan is secured by a corporate guarantee from a subsidiary.

B9. Derivative financial instruments

(a) Derivative financial assets and financial liabilities as at 31 March 2026

| | Contract / Notional value
RM'000 | Fair value - Assets / Liabilities
RM'000 |
| --- | --- | --- |
| Derivative financial assets | | |
| i) Futures contracts | 48,715 | 660 |
| ii) Forward foreign currency contracts | 397,696 | 9,168 |
| Total derivative assets | | 9,828 |
| Derivative financial liabilities | | |
| i) Options contracts | 263,031 | 4,382 |
| ii) Futures contracts | 166,864 | 8,143 |
| iii) Forward foreign currency contracts | 44,888 | 193 |
| Total derivative liabilities | | 12,718 |

All contracts will be maturing within one year.

Futures and options contracts

The Group is exposed to market risk mainly from fluctuation in the prices of agricultural commodities, namely wheat and corn which are the key raw materials used in the Group's Grains and Agribusiness segment. Commodity futures and options contracts are entered into with the objective to manage volatility of commodity prices. It is the policy of the Group to manage the commodity prices with reference to underlying contracts of corresponding commodities that are used in its Grains and Agribusiness operations.

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PPB GROUP BERHAD [196801000571 (8167-W)]

Forward foreign currency contracts

The Group enters into foreign currency forward contracts to minimise its exposure to foreign currency risks as a result of transactions denominated in currencies other than its functional currency. Under the Group’s policy, a foreign currency contract is only considered for a committed transaction and shall not exceed 100% of the committed amount. The Group will continue to monitor closely the market volatilities and take appropriate measures to mitigate such risks.

There have been no significant changes in respect of the following:

(i) the credit risk, market risk and liquidity risk associated with the derivatives;
(ii) the cash requirements of the derivatives;
(iii) the policies in place for mitigating or controlling the risks associated with the derivatives; and
(iv) the related accounting policies.

(b) Fair value changes of financial instruments

The derivative financial instruments are recognised at fair value on contract dates and subsequently re-measured at fair value through profit or loss. The resulting gain or loss from the re-measurement is recognised in the income statement. Fair value changes are dependent on the market prices of derivatives as at the end of reporting period.

For 1Q2026, unrealised fair value gain on derivative financial instruments amounted to RM8.1 million (1Q2025: RM13.4 million).

B10. Material litigation

There is no material litigation as at the date of this report.

B11. Dividend

Shareholders of the Company have at the 57th Annual General Meeting on 14 May 2026, approved a final dividend of 30 sen per share for the financial year ended 31 December 2025, payable on 4 June 2026.

The directors do not recommend the payment of any dividend for the first quarter of 2026.

B12. Earnings per share

	1st Quarter ended 31 March		3 Months ended 31 March
	2026	2025	2026	2025
Net profit for the period (RM'000)	234,020	375,827	234,020	375,827
Number of ordinary shares in issue ('000)	1,422,599	1,422,599	1,422,599	1,422,599
Basic earnings per share (sen)	16.45	26.42	16.45	26.42

There were no potential dilutive ordinary shares outstanding as at 31 March 2026 and 31 March 2025. As such, there were no diluted earnings per share for the financial periods ended 31 March 2026 and 31 March 2025.

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PPB GROUP BERHAD [196801000571 (8167-W)]

B13. Disclosure of audit report qualification and status of matters raised

The auditors' report for the financial year ended 31 December 2025 was not subject to any qualification.

Kuala Lumpur
26 May 2026

By Order of the Board
Mah Teck Keong
Company Secretary

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