Old Chang Kee Ltd. posted a net profit of S$5.0 million for the six months ended 30 September 2025, down 19.3 per cent year-on-year as higher selling, distribution and administrative expenses offset flat topline growth.
Revenue inched up 0.2 per cent year-on-year to S$51.9 million. Earnings per share slipped to 4.14 Singapore cents from 5.12 cents a year earlier. The board declared an interim tax-exempt cash dividend of 1.0 Singapore cent per share, unchanged from the previous interim payout, to be paid on or around 19 December 2025 with a record date of 2 December 2025.
Singapore remained the dominant market, contributing S$51.8 million in external sales and S$5.9 million in pre-tax earnings. The Malaysian unit added S$0.2 million in profit before tax on revenue of S$0.2 million, while the Australian operations booked a marginal loss of S$7,000.
Outlet sales, which accounted for 87 per cent of group turnover, were broadly stable at S$45.4 million. Non-outlet revenue, including delivery, catering and other services, rose 1.0 per cent to S$6.5 million. Gross margin edged down to 69.3 per cent from 69.5 per cent amid higher food costs and production staff expenses.
Selling and distribution costs climbed 4.0 per cent to S$21.0 million, reflecting wage increments linked to Singapore’s progressive wage model, additional depreciation from new and refurbished outlets, and higher subcontractor charges. Administrative expenses rose 3.0 per cent to S$8.8 million, while interest income on short-term deposits fell 32.6 per cent to S$0.5 million following lower deposit rates.
Looking ahead, the company noted persistent cost pressures from raw materials, labour and rent, alongside a tight labour market and subdued consumer sentiment. Management said it will prioritise cost control, margin enhancement and operational efficiency, accelerate business-to-business sales and pursue expansion in strategic high-traffic locations such as transport hubs, while exploring opportunities to scale its logistics and manufacturing footprint.