CPF sees steady recovery ahead despite first‑half profit decline

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Charoen Pokphand Foods (CPF) reported sales revenue of about USD 8.59 billion for the first six months of 2026. Overseas operations in 13 countries contributed 66% of total sales, while Thailand accounted for 34%. Net profit attributable to the company reached approximately USD 271 million during the January–June period.

Although profit declined from the same period last year, CPF said profitability remained within the industry’s  normal range. The company posted a 15% gross profit margin and a 3% net profit margin.

Market pressures weigh on performance

CEO Prasit Boondoungprasert explained that oversupply of meat in several markets since late 2025 affected first‑half results. Disease outbreaks in some countries also accelerated livestock releases, adding pressure to supply chains. Pig prices stayed below last year’s levels, with meat prices in some markets falling below production costs, particularly in China.

The company also faced higher transportation and raw material costs. Geopolitical tensions in the Middle East contributed to elevated oil prices compared with the same period last year, further squeezing margins.

H2 2026 outlook points to recovery

Despite these challenges, CPF expects steady improvement in its business performance in H2 2026. Meat supply and demand in several countries are moving toward healthier balance, and this will support recovery in meat prices.

The company is focusing on improving supply-chain efficiency, product development with partners, and expanding the use of artificial intelligence and smart agriculture across its supply chain. It is also strengthening proactive risk management and cooperation with farmers and business partners to support sustainable long-term growth.

Based on these factors, CPF anticipates stronger performance in the second half compared with the first.

Interim dividend declared

At its August 14, 2026 board meeting, CPF approved an interim dividend of around USD 0.014 per share. The payout represents approximately 41% of net profit.

The record date for shareholders eligible to receive the dividend is September 1, 2026, with the XD date set for August 31, 2026. Payment is scheduled for September 11, 2026.