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ORGANIZATION NEWS
Strong CPO Prices Boost Boustead Plantations 1Q Net Profit
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igher palm product prices saw Boustead Plantations Bhd posting net profit of RM12.22mil in the first quarter ended March 31, 2021. Announcing the stronger set of financial results, it expects the current high crude palm oil (CPO) prices will contribute positively to the group’s earnings this year.
came in at 2.6 tons per hectare. Average oil extraction rate and kernel extraction rate stood at 20.3% and 4.0% respectively. Its chief executive officer Ibrahim Abdul Majid said: “We are pleased to maintain our positive momentum to deliver improved results for the first quarter. Moving forward, the group’s performance will continue to be driven by crop production and CPO prices.
Boustead Plantations said the 1Q21 net profit was in stark contrast with a net loss of RM9.55mil a year ago.
“We are optimistic the current high CPO prices will contribute positively to the group’s earnings this year, although this may be moderated by lower production due to the existing labor shortage in the plantation industry,” he said.
Its revenue increased by 5.68% to RM171.94mil from RM162.69mil. Earnings per share were 0.55 sen compared with loss per share of 0.43 sen. It declared a dividend of 0.3 sen a share which will be paid on June 30, 2021 to shareholders on the register as at June 11. “The group’s strong results were primarily attributable to higher palm product prices. Average crude palm oil (CPO) selling price increased to RM3, 751 per ton, reflecting an increase of RM958 or 34% from RM2, 793 per ton in the same quarter last year. Average palm kernel price was also higher at RM2, 520 per ton, up by RM820 or 48%,” it said in a statement. Boustead Plantations reported fresh fruit bunches (FFB) production for the quarter was 180,165 tons while FFB yield ASIA PALM OIL MAGAZINE | Apr-Jun 2021
Boustead Plantations expects the current high crude palm oil (CPO) prices will contribute positively to the group’s earnings this year.
Source: www.thestar.com
