Kuala Lumpur: Sabah beverage manufacturer Life Water Bhd expects stronger demand from the state’s tourism sector ahead of Visit Malaysia 2026, supported by rising arrivals and steady consumption from hotels and retail outlets.
Its co-founder and managing director Liaw Hen Kong said the projected 3.3 million tourist arrivals in Sabah this year are expected to support higher sales.
“The numbers could rise next year with more arrivals from China, Japan and Thailand. This benefits us, especially through the hotel segment. We supply OEM (original equipment manufacturer) bottled water,” he told reporters at a media briefing on Wednesday.
Responding to a question on capturing visitors immediately upon arrival, he said Life Water has limited shelf presence in airports because operators tend to prioritise premium brands.
“We do, however, advertise at Sandakan Airport, where travellers will see our branding immediately after the arrival hall,” he said.
Other than that, Liaw said the company’s distribution network across Sabah covers rural areas, plantations and island communities where bottled water remains essential due to limited water infrastructure.
“Many rural areas and small islands still depend on bottled water, so demand is consistent. We have more than 90 trucks operating throughout Sabah to support distribution,” he said.
On cost, Liaw said declining polyethylene terephthalate (PET) resin prices are easing input costs, which support its operating outlook.
He said PET resin, the company’s main raw material for bottled water, has continued its multi-year downtrend, falling by about RM500 per tonne annually.
“Two years ago, PET was around RM4,500 per tonne, last year it was RM4,000, and now it is closer to RM3,500,” he said.
The ringgit’s recent strengthening has also helped reduce the group’s import costs.
On Monday, Life Water posted a 25.1 per cent net profit rise to RM9.37 million for the first quarter of the financial year ending 2026, up from RM7.5 million a year earlier.
Revenue also increased to RM51.23 million from RM42.59 million on the back of higher drinking water bottle sales.
