The Edge Markets (29/11/2017) - KUALA LUMPUR (Nov 29): Sarawak Oil Palms Bhd’s net profit grew by 45% to RM54.36 million or 9.52 sen per share for the third quarter ended Sept 30, 2017 (3QFY17), from RM37.49 million or 8.48 sen per share last year due to improved Fresh Fruit Bunches (FFB) production coupled with palm products transacted volume and price.

Its quarterly revenue also saw a 7.06% increase to RM1.21 billion, compared with RM1.13 billion a year ago, according to Sarawak Oil Palms’ filing with Bursa Malaysia today.

For the cumulative nine months of FY17, its net profit almost doubled to RM189.96 million or 33.29 sen per share, from RM96.08 million or 21.76 sen per share last year. Its revenue increased 13.59% to RM3.55 billion against RM3.12 billion.

The company attributed the increase in profit mainly to higher FFB production volume, average palm products realised price improvement and fair value gain on derivative financial instruments.

Looking forward, Sarawak Oil Palms said the performance of the Group would continue to be driven by the FFB production and palm products price movement which are dependent on the world edible oil market, movement of ringgit and economic situation.

Shares in Sarawak Oil Palms closed unchanged at RM4.16 today for a market capitalisation of RM2.37 billion.