Olam Group posts enhanced annual results, as ofi leads growth

The Olam Group, which includes ofi ingredients, has reported strong annual performance, recording net profits of $444 million, up 414% year-on-year, amid notable performance across its portfolio, reports Neill Barston.

As the Singapore business highlighted, its improved fortunes have come despite continued market uncertainties, including cocoa price volatility, with its plans to sell its Olam Agri division to Salic further progressing. 

The company’s reported revenue for the year was 29.6bn, up 28% against the prior year, with 28bn of that figure relating to ofi, with its other interests accounting for just over 1bn. Its Olam Agri business had yielded 37bn, which are classified as discontinuing operations due its pending sale.

Moreover, as Confectionery Production found meeting the ofi team at this year’s ISM event as part of ISM ingredients in Cologne, the business has reported improved fortunes due to its large international reach, and the proposed sale of its agri business has also bolstered its position. It launched several key fine flavour cocoa series under its deZaan branding at the event (see our March edition of our magazine for more on this.)

Indeed, as the company noted, ofi is beginning to see normalisation in market conditions for some of its key input raw materials like cocoa and coffee which experienced heightened volatility over the last two years.

The company stated that It will continue to focus on growing its earnings and returns, together with improved cash flows, with low to mid single digit growth anticipated in the medium-term.

The Group expects the constituent businesses of the Remaining Olam Group to continue delivering steady operational performance while it continues to selectively fund the profitable growth opportunities of selected businesses with internal accruals.

Olam Group Co-founder and CEO, Sunny Verghese, said: “We delivered strong PATMI growth on the back of operating profit growth in 2025 despite elevated market uncertainties and a volatile trading environment.

“We are encouraged by the improved PATMI of our continuing operations – ofi and the Remaining Olam Group – as we continue to execute our Updated 2025 Re-organisation Plan with focus and discipline. Our priority remains on unlocking value in our continuing businesses – ofi and the Remaining Olam Group.

“These businesses have performed strongly both operationally and financially with total EBIT growing at 37.9%. The proposed sale of Olam Agri to SALIC is progressing well and we expect to complete this transaction in the near future. Our plan to divest assets in the Remaining Olam Group is on track with three of the remaining 10 assets sold or wound down. We are now focused on successfully executing the growth initiatives at ofi with the objective of realising its full potential value.”

Sharing his upbeat assessment, Olam Group CFO, N Muthukumar, also cited the relative normalisation of cocoa prices as a critical factor in its position.

He added: “Our capital expenditure grew at a measured rate in 2025 as we remained disciplined and selective in our investments, prioritising strategic investments in ofi and other profitable opportunities while optimising working capital use.”