Elridge Energy scales up regional biomass supply chain as FY2025 momentum solidifies
With rising global demand for sustainable fuel solutions, the group remains committed to scaling its manufacturing footprint, expanding capacity and strengthening its presence across the regional biomass supply chain, according to its executive director and CEO Oliver Yeo.
'Moving forward, we remain focused on disciplined growth, operational scalability and ESG (environmental, social and governance) integration,' he told shareholders at Elridge Energy's inaugural annual general meeting (AGM) in Kuala Lumpur today (June 23).
'With strong industry fundamentals and a clear roadmap, the group is confident of sustaining its upward trajectory in the biomass and renewable energy space.'
The group has posted net profit of RM13.58 mil on the back of a revenue of RM109.67 mil for its 1Q FY2025 ended March 31, 2025 primarily driven by demand from Japan, Indonesia, and Malaysia.
Palm Kernel Shells (PKS) remained the cornerstone of the group's operations by contributing RM95.81 mil or 87.36% of Elridge Energy's 1Q FY2025 revenue while RM13.87 mil or 12.64% was generated from wood pellets.
To support this growth strategy, Elridge Energy is investing RM68.14 mi from its IPO (initial public offering) proceeds to develop new PKS production facilities in Kuantan (Pahang), Pasir Gudang (Johor) and Lahad Datu (Sabah).
Each facility is designed to house two PKS production lines with a combined annual capacity of 240,000 metric tonnes respectively, thus resulting in total additional capacity of 720,000 metric tonnes annually. All sites are on track for completion by the group's FY2026.
As a whole, its gross profit improved to RM81.66 mil from RM45.97 mil while the group's net profit surged to RM41.17 mil from RM23.56 mil. Again, the improved results reflect robust demand for biomass fuel products and continued operational efficiency gains.
PKS contributed 85.16% of Elridge Energy's total revenue for FY2024 while the trading and manufacturing of wood pellets accounted for the remaining 14.84%.
While no dividends were declared for FY2024, its board has expressed its intention to reward shareholders in the future, subject to the group's financial performance, capital requirements and prevailing market conditions.
All 13 resolutions tabled at Elridge Energy's AGM were duly approved by shareholders.
These included the re-election of all seven directors who retired under the company's constitution, the approval of directors' fees and benefits for the current and upcoming financial periods, the re-appointment of HLB Ler Lum Chew as external auditors, and the general mandate for authority to issue shares according to the Companies Act 2016.
At the close of today's (June 23) trading, Elridge Energy was unchanged at 59.5 sen with 787,100 shares traded, thus valuing the company at RM1.19 bil. – June 23, 2025
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