19.05.2021 (www.theedgemarkets.com) - KUALA LUMPUR (May 19): Batu Kawan Bhd's net profit surged more than sixteenfold to RM261.08 million in the second quarter (Q2) ended March 31, 2021, compared with RM16.02 million in the corresponding period last year.

This positive result was underpinned by higher profits from all segments, coupled with unrealised foreign currency exchange translation gain and an RM154.6 million surplus from the sale of plantation land and government acquisition.

Revenue rose 20.2% to RM4.73 billion from RM3.93 billion previously, the group shared in a filing with Bursa Malaysia today.

It said the plantation group's 2Q profit was significantly higher from higher crude palm oil (CPO) and palm kernel selling prices, higher profits from processing and trading operations, while the manufacturing segment's profit doubled from higher sales volume.

"In view of the current buoyant CPO prices due to tight palm oil inventories and global edible oil supplies, the group's plantation segment profit will be higher in the financial year 2021.

"Despite a challenging year, the group's oleochemical division's performance should exceed that of the previous year," it added.

The company, through its subsidiaries, is involved in chemical manufacturing, plantation, logistics, property investment, investment holding and property development.

https://www.theedgemarkets.com/article/batu-kawans-2q-net-profit-sixteenfold-higher