The Singapore headquartered Olam Group has recently confirmed its latest annual results, that have revealed a key boost to its profits with the $1.75 billion sale of a 44% stake in its key Agri division of the company, writes Neill Barston. 

Notably, the decision to sell a significant segment of its agricultural interests, which has been negotiated over an extended period, comes at a key time of significant market challenges with the global segment facing supply chain tests amid uncertain markets.

As the business reported, revenue declined 18.3% to S$12.5 billion mainly due to the marked drop in input prices in ofi, namely cocoa and coffee, coupled with lower volumes in OGH. its strategic divestment business.

Furthermore, the company noted that ofi recorded a marginal reduction in general earnings at S$509.7 million (H1 2025: S$535.8 million) despite a significant fall in input prices and capital deployed, and the impact of a weakening US dollar (US$) versus the Singapore dollar (S$).

Olam Group’s Executive Director and CEO of ofi A. Shekhar acknowledged the market turbulence experienced in the past year, but believed there was optimism ahead.

He said: “The first half of 2026 marks an important milestone in Olam Group’s journey. Following the completion of the first tranche of the Olam Agri transaction, we have significantly strengthened our balance sheet, enhanced financial flexibility and demonstrated our ability to unlock value for shareholders.

“At ofi, our performance demonstrates the resilience of our integrated business model. Despite continued market volatility and geopolitical uncertainty, we delivered stable earnings with significant reduction in capital deployment, leading to improved capital efficiency, strong cash generation and higher net earnings.

“Looking ahead, we remain focused on investing selectively behind growth opportunities while maintaining capital discipline. We are confident that these foundations will continue to support long-term value creation for both ofi and Olam Group stakeholders.”

In addition, the group’s CFO, Venkataraman Krishnan, noted that its results reflected what he termed as a ‘more focused and financially stronger business.”