Sarawak Oil Palms' 2Q net profit up 156% on higher palm products prices
26.08.202 (www.theedgemarkets.com) - KUALA LUMPUR (Aug 26): Sarawak Oil Palms Bhd (SOPB) reported a 156.43% surge in its second quarter net profit to RM98.32 million, from RM38.34 million a year earlier, thanks to higher palm products prices.
Earnings per share for the quarter ended June 30, 2021 (2QFY21) rose to 17.20 sen, from 6.72 sen previously, the group’s stock exchange filing showed.
Quarterly revenue expanded 51.59% to RM949.05 million, from RM626.06 million in 2QFY20.
SOPB said the average realised price for palm oil products was RM4.414 per tonne, up 87.27% from RM2,357 in 2QFY20.
The average realised price for palm kernel products was also up 78.92% to RM3,106 per tonne, from RM1,736 previously.
On a quarter-on-quarter basis, SOPB’s net profit rose 24.37% from RM79.06 million in 1QFY21, while revenue was up 20.39% from RM788.32 million.
For the first half, the group’s cumulative net profit jumped 61.92% to RM177.38 million, from RM109.55 million in the same period last year, as revenue climbed 51.85% to RM1.74 billion, from RM1.14 billion.
Prospect-wise, the group said its performance would continue to be driven by the fresh fruit bunch production and palm oil products price movement, which is dependent on the world edible oil market, movement of the ringgit and the economic situation.
Shares of SOPB closed five sen or 1.35% higher at RM3.76 today, valuing the group at RM2.15 billion.