26/01/2026

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MONDAY | JAN 26, 2026

Maxim Malaysia enters proactive mode

o E-hailing company anticipates a more dynamic and regulated landscape in 2026 with competition moving beyond pricing

Ű BY JOHN GILBERT sunbiz@thesundaily.com

contributions from both the industrial and agricultural chemicals segments amid subdued selling prices,” Berjaya Research said in a report. On a year-on-year basis, Ancom Nylex’s revenue declined 4.9% to RM428.8 million in Q2 FY26, from RM450.7 million in the quarter last year, mainly weighed down by lower contributions from the industrial chemicals (-4.3%) and polymer (-30.1%) segments amid weaker demand and lower ASPs, while the agricultural chemicals segment remained stable. However, Patami increased 18.9% to RM18 million, up from RM15.2 million, largely driven by improved margins in the industrial chemicals segment and better operational efficiency in the distribution business. On a quarter-on-quarter basis, Ancom Nylex’s revenue fell 4.1% from the preceding quarter due to softer ASPs across the industrial and agricultural chemicals segments, while Patami contracted 10.2% in tandem with the weaker topline. proactive regulatory engagement, a strong partner-centric approach and continuous operational optimisation to maintain service reliability and affordability. “We always maintain ongoing dialogue with regulators to ensure smooth and timely adaptation to policy changes,” he said. To support driver retention, he said, Maxim Malaysia provides tangible assistance, such as full coverage of Public Service Vehicle (PSV) licensing costs, incentive programmes, and inclusive initiatives like “Drive for Inclusion”, which broaden participation across differ ent segments of society. At the same time, Maxim Malaysia continuously works to raise its service standards. This includes offering optional training and awareness programmes for partner-drivers, often in collaboration with relevant authorities, such as the Road Transport Department, to promote road safety awareness, traffic rules awareness and professional service delivery. These efforts, Hazwan said, help ensure consistent service quality while supporting long-term opera tional sustainability. “To manage operational expenses, we focus on technological efficiency and logistics optimisation. Invest ments in IT infrastructure and analytics allow us to streamline processes, minimise downtime and optimise routes. This, coupled with a sustainable partner-drivers engage ment model, helps curb cost increases

PETALING JAYA: Berjaya Research Sdn Bhd continues to favour Ancom Nylex Bhd’s post-second quarter financial year 2026 (Q2 FY26) earnings announcement, given its position as the sole large-scale producer of herbicide active ingredients (AI) in Southeast Asia, increasing demand for agricultural chemicals, the continuous launch of new AI products and its status as a beneficiary of the ban on paraquat. However, the research firm high lighted key downside risks, including unfavourable global weather pat terns, supply chain disruptions, fluctuating input costs and the depreciation of the US dollar versus the ringgit. On earnings, Berjaya Research pointed out that Ancom Nylex’s H1 FY26 revenue and Patami came in below the firm’s expectations, accounting for 44.1% and 42.8% of its full-year estimates, respectively. “The earnings miss was mainly attributed to weaker-than-expected “By offering a credible and compliant alternative, we aim to contribute to healthy competition in the e-hailing industry that improves service quality, expands consumer choice, and supports fair conditions for driver-partners,” he told SunBiz . Hazwan said the e-hailing sector may face challenges in 2026, including adapting to evolving regulatory requirements, retaining drivers in an increasingly competitive gig economy and managing rising operational costs. “Our strategy is to build around KUALA LUMPUR: E-hailing com pany Maxim Malaysia anticipates a more dynamic and regulated landscape for the sector in 2026, driven by increasing demand for flexible mobility solutions. Director Mohd Hazwan Musley said competition is expected to move beyond pricing alone and be increasingly driven by safety stan dards, regulatory compliance, service reliability and inclusivity, areas where Maxim Malaysia has consistently invested in. “Our priority is to strengthen our position as a trusted, safe and socially responsible operator across Malaysia, with a strong presence in every state where we operate. “Rather than pursuing aggressive market share expansion, we focus on building a sustainable platform that delivers long-term value to users, drivers and regulators alike.

Hazwan says Maxim Malaysia focuses on building a sustainable platform that delivers long-term value to users,

drivers and regulators.

ingredients is progressing well. AI T has ramped up steadily, with initial deliveries to Brazil completed by the end of 2025 and additional orders secured in new markets. Demand is expected to strengthen in line with the seasonal application cycle across southern hemisphere countries. AI S is now in trial production following the completion of machine installation, keeping it on track for earnings contribution from FY27 onwards. “Notably, both AI T and AI S have been granted pioneer status by Mida. “As for the industrial chemicals segment, it is expected to remain subdued amid soft global commodity prices. “Nevertheless, the management continues to focus on cost opti misation and operational efficiency to mitigate the impact of weaker sales volumes and ASPs,“ Berjaya Research said. significant part of its ecosystem. The company will continue to cover the full cost of PSV licensing and reimburse drivers RM400 to offset their expenses. “We will work closely with driving schools nationwide to streamline the PSV licensing process, making it faster and easier to join our platform. Now we collaborate with 25 schools. “Geographically, we are com mitted to extending services into rural and suburban regions where public transport options remain limited. This expansion serves a dual purpose, providing essential mobility for communities and creating valuable income opportunities for drivers in these areas. “We are currently in the stage of planning to enhance last-mile con nectivity through our growing delivery, or p-hailing, segment in states, giving local entrepreneurs the opportunity to grow with us,” Hazwan said.

our revised FY27 earnings per share,“ Berjaya Research said. On outlook, Berjaya Research said moving into H2 FY26, agricultural chemicals export volumes are expected to remain healthy, although US dollar weakness may weigh on revenue given the group’s net exporter profile. The research firm said approval of the MSMA label for soybean crops by Brazil’s environmental agency repre sents a major catalyst, expanding the addressable market to nearly 5x that of sugarcane. “This timely approval allows the group to participate in local tenders in April-May and secure orders for the upcoming soybean planting season. “To support rising MSMA volume growth, the group has identified a potential warehouse acquisition near Port Klang to expand storage capacity and reduce reliance on existing third party facilities,“ Berjaya Research said. Meanwhile, the firm noted that the commercialisation of new active the Land Public Transport Agency (Apad). This milestone underscores the company’s continued focus on regulatory compliance and safety standards. The licence was awarded after Maxim Malaysia completed a compulsory monitoring phase in November and satisfied all required regulatory conditions, reinforcing its role within Malaysia’s transport landscape. Hazwan said, “Maxim Malaysia’s assurance of compliance given by Apad last year has created a stable foundation for our growth in Malaysia. For 2026, Maxim Malaysia’s roadmap focuses on three strategic pillars, which are scaling our driver network, expanding geographic accessibility, and developing our app ecosystem.” After a tough 2025, Maxim Malaysia’s main focus is now on working with drivers, who are a

without passing them on to users.” Further, Hazwan said a reliable and motivated pool of drivers directly impacts service stability, coverage and predictable pricing for passengers. “Our business strategy for 2026 is aimed at creating a sustainable ecosystem where regulatory com pliance, care for partner-driver, and operational efficiency are inter connected. It is precisely this com prehensive approach that enables us to deliver on our core promise to customers: providing safe, reliable and accessible service in every part of Malaysia we expand into. “We are confident that the balance between partner support and technological investment is the key to long-term trust and quality of our service,” he said. Earlier this month, Maxim Malaysia secured full authorisation as an e-hailing operator following the issuance of its operating licence by

Berjaya Research keeps ‘buy’ call on Ancom Nylex with lower target price

“We trimmed our FY26/FY27 earnings forecasts by 10.8%/8.2% to reflect ongoing weakness in global commodity prices impacting the industrial chemicals segment, as well as lower revenue assumptions for agricultural chemicals amid a firmer ringgit. “Following softer ASP assumptions under current market conditions, we revise our FY26/FY27 earnings forecasts lower and maintain our Buy reco mmendation on Ancom Nylex with a lower target price of RM1.08 (-RM0.08), derived from ascribing an unchanged target price-to-earnings ratio of 13x to