Pasture Holdings Ltd. 1H2026 Results: Revenue Falls 40.6%, No Interim Dividend Declared

Pasture Holdings Ltd. 1H2026 Financial Review: Navigating Headwinds in Global Pharma

Pasture Holdings Ltd., a Singapore-based global pharmaceuticals and medical supplies distributor, has released its unaudited condensed interim financial statements for the six months ended 31 December 2025. The results highlight a challenging period marked by trade disruptions, regulatory changes, and softening demand across key business segments.

Key Financial Metrics

Metric	Current Period (1H2026: 6M ended 31 Dec 2025)	Previous Quarter (2H2025: 6M ended 30 Jun 2025)	Same Period Last Year (1H2025: 6M ended 31 Dec 2024)	YoY Change	QoQ Change
Revenue	\$4.26m	\$4.87m^*	\$7.17m	-40.6%	-12.5%^*
Gross Profit	\$0.72m	\$0.98m^*	\$2.01m	-64.2%	-26.5%^*
Net (Loss)/Profit	(\$0.78m)	\$0.29m^*	\$0.47m	NM	NM
EPS (US cents)	(0.59)	0.22^*	0.36	NM	NM
Dividend per Share (US cents)	0	0.18	0	0	-100%
Net Asset Value per Share (US cents)	2.78	3.73	3.73	-25.5%	-25.5%

^* Inferred based on net asset changes and dividend paid, as direct quarterly figures are not provided.

Segment Performance

Pharma Wholesale & Drop-Shipment (Pharma WDS): Dominant segment, but revenue fell sharply due to US tariffs, customs changes, and the absence of a prior government contract.
Mask & Medical Supplies: Revenue was subdued at \$0.1m, reflecting softer demand.
Other Services: Minor contribution, with \$29k in revenue from new products and preventive healthcare.

Historical Performance Trends

Pasture Holdings has seen a significant decline in both revenue and profitability compared to the same period last year. This marks a reversal from a profitable 1H2025, largely driven by external factors such as increased compliance costs, tariffs, and a completed government-linked contract. Gross margin compression from 28% to 16.9% underscores the impact of regulatory and logistical challenges.

Exceptional Earnings or Expenses

The prior period saw a one-off recovery of an overdue debt (\$0.1m), boosting other income in 1H2025; this was absent in 1H2026.
Interest-free loan (\$0.3m) extended to the Malaysian subsidiary by a related party, increasing trade and other payables.
Acquisition of AP Bioresources Sdn Bhd, with provisional goodwill of \$13k recognized.

Dividends

No dividend was declared for the current period, with management citing cash conservation. The previous period saw a final dividend of 0.18 US cents per share.

Cash Flows and Balance Sheet

Operating Cash Flow: Outflow of \$0.5m, primarily due to operating losses and increased advances from customers.
Investing: Minor net inflow (\$25k), mainly from subsidiary acquisition.
Financing: Outflow of \$0.5m, including dividend payment, loan repayments, and lease payments.
Net Asset Value: Fell from \$3.73 to \$2.78 US cents/share, reflecting the loss and dividend payout.

Chairman’s Statement & Outlook

“As a global pharmaceuticals and medical supplies company, the Group’s results were impacted by the ongoing economic headwinds, disruptions to trade flows due to evolving US tariff policies, and increasing regulatory and distribution complexities. These developments have affected customers’ procurement timelines, supply chain visibility, and business sentiments across key markets that in turn impacted the Group’s operations in 1H2026 despite our early risk mitigation strategies. We expect elements of this uncertainty to persist into the second half of the financial year. Accordingly, we continue to actively strengthen our resilience and operational agility, in response to evolving conditions. Notwithstanding the uncertain near-term visibility, our diversified global footprint, deep regulatory expertise, and strong client relationships position us to manage near-term volatility and continue pursuing opportunities arising from global trade realignment and growing healthcare demand, particularly in emerging markets.”

The tone is cautious and realistic, acknowledging near-term challenges but emphasizing the company’s adaptability and long-term positioning.

Corporate Actions & Related Party Transactions

Acquisition of a strategic 50% stake in AP Bioresources Sdn Bhd for \$40k, funded from IPO proceeds.
No share buybacks, placements, or dilution events reported.
No material interested person transactions above S\$100k.

Events Affecting Business

US tariffs on pharmaceutical imports and evolving customs regulations have materially affected business volumes and margins.
No legal disputes or natural disasters disclosed.
No dividend for 1H2026, citing cash conservation.

Conclusion & Investor Recommendations

Overall Assessment: The financial performance for 1H2026 is weak, with a steep decline in revenue, gross profit, and a swing to net loss. Macroeconomic and regulatory factors are weighing heavily, and there is no near-term dividend. While management is focused on risk mitigation and strategic expansion, the outlook remains uncertain and visibility is low.

Investor Recommendations

If you are currently holding Pasture Holdings Ltd.: Consider maintaining a cautious stance. Monitor for signs of recovery in core segments or improvements in trade conditions. Unless you have a long-term risk appetite and confidence in management’s strategy, review your portfolio allocation and be prepared for continued volatility.
If you are not currently holding Pasture Holdings Ltd.: It may be prudent to wait for clearer signs of recovery and improved profitability before initiating a position. The current environment presents elevated risks, and the company’s turnaround depends on external factors beyond its control.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own due diligence and consult with financial advisors before making any investment decisions. Pasture Holdings Ltd.’s performance and outlook are based strictly on the contents of its official financial report.