Farm Fresh Berhad Earnings Missed Analyst Estimates: Here's What Analysts Are Forecasting Now

As you might know, Farm Fresh Berhad (KLSE:FFB) last week released its latest third-quarter, and things did not turn out so great for shareholders. Farm Fresh Berhad missed analyst forecasts, with revenues of RM247m and statutory earnings per share (EPS) of RM0.014, falling short by 3.6% and 8.5% respectively. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

View our latest analysis for Farm Fresh Berhad

Taking into account the latest results, the consensus forecast from Farm Fresh Berhad's twelve analysts is for revenues of RM1.16b in 2026. This reflects a sizeable 22% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to shoot up 34% to RM0.073. Before this earnings report, the analysts had been forecasting revenues of RM1.16b and earnings per share (EPS) of RM0.074 in 2026. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

There were no changes to revenue or earnings estimates or the price target of RM1.98, suggesting that the company has met expectations in its recent result. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on Farm Fresh Berhad, with the most bullish analyst valuing it at RM2.36 and the most bearish at RM1.25 per share. This shows there is still a bit of diversity in estimates, but analysts don't appear to be totally split on the stock as though it might be a success or failure situation.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. The period to the end of 2026 brings more of the same, according to the analysts, with revenue forecast to display 17% growth on an annualised basis. That is in line with its 20% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 3.2% per year. So although Farm Fresh Berhad is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at RM1.98, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on Farm Fresh Berhad. Long-term earnings power is much more important than next year's profits. We have forecasts for Farm Fresh Berhad going out to 2027, and you can see them free on our platform here.

You can also view our analysis of Farm Fresh Berhad's balance sheet, and whether we think Farm Fresh Berhad is carrying too much debt, for free on our platform here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.