27/02/2013 (Bernama) - Felda Global Ventures Holdings Bhd (FGV) full-year profit before tax for financial year ended Dec 31, 2012 after fair value changes in Land Lease Agreement (LLA) liability hits RM1.126 billion.

In 2011, FGV's pre-tax profit was RM1.9 billion and this did not include LLA liability or RM210.18 million which only rose in 2012 following FGV's business model changes.

FGV President Datuk Sabri Ahmad said effective Jan 1, 2012, the company's business model was changed when FGV signed a LLA with Federal Land Development Authority (Felda) involving 347,584 hectares of Felda land, resulting in fair changes in LLA liability being recognised in the income statement.

FGV's revenue in 2012 stood at RM12.89 billion as compared with RM7.45 billion in 2011.

Sabri said the slide in crude palm oil prices last year affected profit in the fourth quarter of last year.