Riverstone (AP4) Q1 2026 earnings summary

Executive summary

• Revenue for 1Q FY2026 was RM214.3 million, down 15.1% year-over-year and 14.5% sequentially, impacted by a stronger Malaysian Ringgit against the US dollar.

• Net profit for 1Q FY2026 was RM41.1 million, down 27.1% year-over-year and 23.9% sequentially.

• Gross profit for 1Q FY2026 was RM62.0 million, a decrease of 24.6% year-over-year and 16.4% quarter-over-quarter.

• Despite declines in revenue and profit, sales volumes in cleanroom and healthcare segments remained steady.

Financial highlights

• Revenue declined from RM252.3 million in 1Q FY2025 to RM214.3 million in 1Q FY2026.

• Gross profit dropped from RM82.2 million in 1Q FY2025 to RM62.0 million in 1Q FY2026, with a gross margin of 28.9%.

• Profit before tax fell from RM73.3 million in 1Q FY2025 to RM52.8 million in 1Q FY2026, down 28.0% year-over-year and 20.1% quarter-over-quarter.

• Cash and cash equivalents increased by RM69.8 million sequentially to RM700.2 million as of 31 March 2026.

• Revenue, gross profit, and net profit have shown a declining trend over the past five quarters.

Outlook and guidance

• Long-term outlook remains positive, driven by sustained demand in the cleanroom segment.

• Near-term challenges include geopolitical tensions in the Middle East disrupting raw material supply chains, but supplier relationships have secured supply through June.

• Cleanroom glove demand benefits from AI infrastructure and data center growth; healthcare glove customers are building inventory in anticipation of supply chain disruptions.

• Management remains cautiously optimistic about long-term growth prospects.