[SINGAPORE] Jumbo Group posted a 22.3 per cent drop in net profit to S$6.2 million for its first half ended Mar 31, 2026, from S$7.9 million in the previous corresponding period.

In an update released on Friday (May 8), the group attributed the fall mainly to higher operating expenses, including employee benefits, operating leases, and utilities.

The Catalist-listed food and beverage group cited “annual wage adjustments, higher headcount required to support recently opened outlets, increased business activities and expanded operation premises”.

Earnings per share stood at S$0.01 for the half-year, down from S$0.013 the previous year.

Revenue rose 7.9 per cent to S$105.1 million, from S$97.3 million a year earlier, driven mostly by the group’s Singapore operations, which benefited from contributions from new outlets, and an 11.5 per cent increase in revenue from operations in China.

An interim dividend of S$0.005 per share was declared for the half-year, unchanged from the year before. The dividend will be paid on May 28 after books closure on May 18.

The group expects the operating environment to remain challenging due to cautious consumer sentiment, macroeconomic uncertainties, and geopolitical tensions. It noted that competition in the local food-and-beverage industry remains intense.

Group executive chairman and chief executive Ang Kiam Meng said: “Amid cost pressures and intense competition, we will remain focused on strengthening productivity, sharpening our offerings and building a more efficient platform for sustainable growth.”

The group also said it expects the consolidation of its headquarters and central kitchen to support greater operational efficiency over time.

It added the China market is expected to remain competitive and sensitive to changes in consumer sentiment. The group will continue to focus on targeted marketing initiatives, customer engagement and operational discipline.

Shares of Jumbo closed flat at S$0.28 on Friday, before the release of the results.