MARKET DEVELOPMENT
FELCRA Disburses RM120.8 Mln Dividend To 73,000 Settlers
FELCRA Disburses RM120.8 Mln Dividend To 73,000 Settlers
21/12/2013 (Bernama) - Felcra Bhd Friday distributed RM120.8 million in the second interim dividend payout this year to 73,000 participants of its plantation schemes nationwide, ahead of the 2014 schooling session.
Its Chairman, Datuk Bung Mokhtar Radin said as of October 2013, the participants' 1092 projects (estates), covering 104,616 hectares planted with rubber, oil palm and padi, generated a net profit of RM172.59 million.
"Of the total, 70 per cent was utilised for the second interim dividend, while the remainder is used as a reserve to finance estate operation costs," he told reporters after the announcement of the dividend in Kuala Lumpur.
Dividends for 2013 are issued in three phases, with RM80 million and RM120 million for the first and second phases respectively, and an expected RM300 million for the final phase, he said.
Bung Mokhtar said this year's dividend payouts have declined from last year's on lower revenue due to lower market prices for commodities like rubber and palm oil.
"Prices have gone down by 23 per cent for rubber and by 20 per cent for palm oil, affecting the income although Felcra's production has increased," he said.
In 2012, Felcra's first and second interim dividends stood at RM250 million and RM150 million respectively.
To remain competitive, he said, Felcra plans to replant on 50,000 hectares of its land in Malaysia and open 50,000 hectares of land overseas next year, besides diversifying into the hotel business in Langkawi and manufacturing on its own land.
The diversification is part of a wider plan to strengthen its assets and be listed on Bursa Malaysia, he added.
Its Chairman, Datuk Bung Mokhtar Radin said as of October 2013, the participants' 1092 projects (estates), covering 104,616 hectares planted with rubber, oil palm and padi, generated a net profit of RM172.59 million.
"Of the total, 70 per cent was utilised for the second interim dividend, while the remainder is used as a reserve to finance estate operation costs," he told reporters after the announcement of the dividend in Kuala Lumpur.
Dividends for 2013 are issued in three phases, with RM80 million and RM120 million for the first and second phases respectively, and an expected RM300 million for the final phase, he said.
Bung Mokhtar said this year's dividend payouts have declined from last year's on lower revenue due to lower market prices for commodities like rubber and palm oil.
"Prices have gone down by 23 per cent for rubber and by 20 per cent for palm oil, affecting the income although Felcra's production has increased," he said.
In 2012, Felcra's first and second interim dividends stood at RM250 million and RM150 million respectively.
To remain competitive, he said, Felcra plans to replant on 50,000 hectares of its land in Malaysia and open 50,000 hectares of land overseas next year, besides diversifying into the hotel business in Langkawi and manufacturing on its own land.
The diversification is part of a wider plan to strengthen its assets and be listed on Bursa Malaysia, he added.