Jumbo Group Limited: Profit Guidance and FY2025 Outlook

Jumbo Group Limited has issued a profit guidance announcement for the full year ended 30 September 2025 (FY2025). Based on a preliminary review of unaudited consolidated financial results, the Group expects to report a significantly lower net profit for FY2025 compared to FY2024. This article summarizes the key points from the announcement, analyzes notable trends, and provides insights for investors.

Key Highlights from the Profit Guidance

• The Group anticipates a substantial decline in net profit for FY2025 versus FY2024.
• The decrease in profitability is primarily attributed to a significant increase in operating expenses.
• Among the increased expenses, higher amortisation costs associated with new leases in the second half of FY2025 were specifically highlighted.
• The unaudited financial results for FY2025 will be announced on or before 29 November 2025.

Financial Metrics and Comparative Table

Due to the preliminary nature of the guidance, specific financial metrics such as revenue, EPS, dividends, and other detailed figures were not disclosed in this announcement. As a result, a comparative table cannot be provided at this time.

Historical Performance Trends

The announcement indicates a reversal of performance momentum, with FY2025 net profit expected to be significantly lower than FY2024. The main reason cited is higher operating expenses, especially those related to new lease amortisations in the latter half of the year. This suggests that historical cost structures have worsened, impacting bottom-line results.

Exceptional Earnings or Expenses

A notable exceptional expense for FY2025 is the higher amortisation costs from new leases, which was not present in the previous year. This one-off increase in expenses played a major role in the anticipated decline in profitability.

Chairman’s Statement

“The board of directors (the ‘Board’) of Jumbo Group Limited (the ‘Company’, together with its subsidiaries, the ‘Group’) wishes to inform shareholders of the Company that, based on a preliminary review of the unaudited consolidated financial results, the Group is expected to report a significant lower net profit for the financial year ended 30 September (‘FY’) 2025 as compared to FY2024. The lower profitability is primarily due to a notable increase in operating expenses which impacted the Group’s overall financial performance for the year, amongst which included higher amortisation costs associated with new leases in the second half of FY2025.”

— Ang Kiam Meng, Executive Chairman and Group CEO, 10 November 2025

The tone of the Chairman’s statement is cautious and transparent, acknowledging the challenges faced by the Group and warning stakeholders to exercise prudence.

Events Impacting Performance

• No mention of natural disasters, legal disputes, or macroeconomic shifts.
• No indication of asset revaluation, divestments, IPOs, fundraising, or share buybacks.
• No disclosure of directors’ remuneration or related-party transactions.
• No unusual fund flows or sudden spikes in revenue or profit aside from the noted exceptional expenses.

Outlook and Forecasted Events

The Group is in the process of finalizing its unaudited financial results. The expectation of significantly lower net profit—primarily due to exceptional amortisation costs—suggests that headwinds from rising operating expenses may persist into future periods if not addressed.

Conclusion and Investment Recommendation

Overall Performance and Outlook: The announced profit guidance points to a weak financial performance for FY2025. The significant increase in operating expenses, especially amortisation costs from new leases, has materially impacted profitability. The tone from management is cautious, and no positive catalysts or mitigating actions have been disclosed at this stage.

Investor Recommendations

• If you are currently holding Jumbo Group Limited stock:
  Consider reviewing your position in light of the anticipated decline in net profit. If your investment thesis is based on near-term earnings growth, you may want to reduce exposure or monitor the upcoming full financial results for further clarity. Alternatively, long-term investors may wish to wait for management’s response to the cost increases.
• If you are not currently holding Jumbo Group Limited stock:
  Exercise caution before initiating a position. Wait for the detailed unaudited financial results and any strategic updates from management addressing the rising expenses. At this stage, there is no indication of an imminent turnaround or compelling upside.

Disclaimer: This recommendation is based solely on the information provided in the company’s profit guidance announcement. It does not constitute financial advice. Investors should seek independent professional advice tailored to their individual circumstances before making any investment decisions.

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