North East Rubber Public Company Limited (SET: NER) has announced robust financial results for the fiscal year ended December 31, 2025, demonstrating significant growth in both top and bottom lines.
The company delivered a net profit of 1,884.52 million baht, representing a 14.04% increase compared to the 1,652.47 million baht recorded in 2024. This performance was driven by a substantial rise in sales volume and strategic gains, even as the company navigated rising operational costs.
Revenue from sales climbed to 30,240.42 million baht, a year-on-year increase of 10.17%. This growth was supported by an 8.25% rise in sales volume, which reached 475,430 tons. While domestic sales remained the company’s primary revenue driver at 21,452.73 million baht (+4.72% YoY), export sales surged by 26.20% to 8,787.69 million baht, reflecting a stronger international presence.
However, profitability faced headwinds from a higher cost of sales, which rose to 27,313.51 million baht, or 90.32% of sales revenue—up from 89.87% in 2024. This increase was primarily due to a rise in raw material and consumable costs, which pressured the gross profit margin down to 9.68% from 10.13% the previous year.
Additionally, distribution costs rose by 22.45% to 451.06 million baht, largely due to increased transportation and shipping charges associated with higher volumes.
The bottom line was significantly bolstered by non-operating factors. NER recorded a gain on exchange rates of 79.43 million baht, a 177.71% jump from 2024. Furthermore, the company realized a net gain of 127.10 million baht from a fire insurance claim.
This followed a warehouse accident in July 2025, where 278.75 million baht in insurance proceeds successfully offset 151.65 million baht in damages. Despite a 16.83% increase in finance costs to 548.07 million baht, NER concluded 2025 with an improved net profit margin of 6.18%.
Moreover, the company’s Board of Directors has approved a cash dividend distribution for the 2025 financial year at 0.31 baht per share, totaling roughly 572.81 million baht. After factoring in the interim dividend of 0.05 baht per share (92.39 million baht) paid on September 5, 2025, shareholders will receive a final dividend of 0.26 baht per share, amounting to 480.43 million baht.
The aggregate dividend equates to a payout ratio of 30.40% of net profit after required legal reserves. In line with NER’s dividend policy, the payment is sourced from profits exempted from tax due to investment promotion privileges (BOI), which means shareholders are not eligible for tax credits on this dividend. The ex-dividend date has been set for April 23, 2026, with the dividend payment date on May 7, 2026.
