United Malacca Earnings Forecast Cut Amid Higher Production Costs

United Malacca Bhd's financial performance is expected to be impacted by higher production costs and a higher effective tax rate. According to analysts, this will result in a 19% reduction in earnings forecast for the company's fiscal year ending April 30, 2027 (FY27).

This downward revision comes after TA Research raised its FY28 earnings forecast by 4.9%, citing a more favorable crude palm oil price assumption.

The analysts' adjustment reflects concerns over increased production costs and higher taxes that may affect the company's profitability in the short term.