MegaChem Limited - Annual Report 2025

ECONOMIC Objective To create long-term sustainable value for our shareholders. Approach Megachem adopts a 2-pronged approach: – preserve shareholders’ value by building resilience throughout its business operations; - enhance shareholders’ value through a robust strategy with a focus on delivering long-term sustainable growth. PERFORMANCE HIGHLIGHTS 2023 2024 2025 Net profit after tax (S$’mil) (5.8) 7.9 3.9 Adjusted net profit after tax (ex-fire)(S$’mil)(1) 1.9 2.9 3.9 Shareholders Equity (S$’mil) 50.0 58.5 61.3 Earnings per share (cents) (4.43) 5.93 2.88 Net Dividend/share (cents) nil 1.0 1.0 Dividend Yield % nil 2.3% 2.4% Share Price Change (%) (2.0%) (14%) (2.3%) Total Shareholders Return (%) (2.0%) (11.7%) 0.1% Note: (1) “Adjusted” amounts refer to amounts adjusted for the impact of a fire incident that took place on 5 July 2023 (“Fire Incident”). Results for FY2023 were negatively impacted by the fire incident at one of our warehouses, leading to our first ever loss. As a result, no dividend was declared for FY2023. Excluding the impact of the fire incident, we would have been profitable. We recovered with a net profit after tax of S$3.9 million for FY2025 which is S$1.0 million or 31.1% higher than the adjusted net profit after tax for FY2024. ENVIRONMENT Objective We are committed to environmental protection and conservation of resources. Approach Our efforts in this area includes adopting renewable energy sources such as solar energy, reducing paper, electricity and water consumption, reducing waste water generation, paper recycling and adopting proper chemical waste treatment methods. MEGACHEM LIMITED ANNUAL REPORT 2025 87 SUSTAINABILITY REPORT

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