MARKET DEVELOPMENT
Batu Kawan, KLK Earnings Surge
Batu Kawan, KLK Earnings Surge
22/05/2014 (The Star) - Plantation-based Batu Kawan Bhd and its 46.57%-owned Kuala Lumpur Kepong Bhd (KLK) posted sharply higher earnings in their second quarter ended March 31, buoyed by the cyclical recovery in palm oil prices since the end of last year.
Batu Kawan said net profit jumped 49.85% to RM163.22mil from RM108.92mil, while revenue rose 31.01% to RM3.02bil versus RM2.31bil a year earlier.
Earnings per share (EPS) improved to 39.53 sen compared with 26.21 sen in the same quarter last year.
A dividend of 15 sen was declared for the second quarter, its first this year.
For the six months to March, net profit leapt 29.21% to RM320.19mil from RM247.81mil. Sales grew 19.18% to RM5.61bil against RM4.71bil. EPS rose to 77.55 sen versus 59.63 sen.
KLK, meanwhile, saw its net profit in the second quarter surge 50.06% to RM314.61mil from RM209.66mil, on the back of a 31.24% increase in revenue to RM2.93bil against RM2.24bil in the previous year.
EPS stood at 29.5 sen, better than 19.7 sen it reported earlier. KLK also said it would pay a dividend of 15 sen per share.
The plantation giant’s net profit in the six months to March climbed 29.05% to RM607.29mil versus RM470.58mil, while sales expanded 19.13% to RM5.43bil from RM4.56bil. EPS came in at 57 sen compared with 44.2 sen last year.
Batu Kawan said in the notes to its accounts that revenue rose in the first half of the year on better sales across all segments, except for property development.
Its plantations segment reported a profit of RM554.7mil, up 19% from last year due to higher selling prices of crude palm oil (CPO) and palm kernel, even though its crop production of both palm oil and rubber dipped.
Manufacturing profits jumped to RM260.79mil from RM173.4mil on improved sales volumes, particularly from fatty acids and specialties products, and higher selling prices.
For property development, however, the group said revenue tumbled 54% to RM48.86mil and profit 40% to RM21.62mil on a decline in profit recognition from the development project in Bandar Seri Coalfields, Sungai Buloh, Selangor.
KLK, meanwhile, received a boost to its earnings from higher average selling prices of CPO of RM2,392 per tonne, up 5.3% year-on-year, and palm kernel of RM1,542 per tonne, which rose 44%.
Its plantation profits increased to RM545.2mil as at March 31 from RM463.mil.
Batu Kawan said net profit jumped 49.85% to RM163.22mil from RM108.92mil, while revenue rose 31.01% to RM3.02bil versus RM2.31bil a year earlier.
Earnings per share (EPS) improved to 39.53 sen compared with 26.21 sen in the same quarter last year.
A dividend of 15 sen was declared for the second quarter, its first this year.
For the six months to March, net profit leapt 29.21% to RM320.19mil from RM247.81mil. Sales grew 19.18% to RM5.61bil against RM4.71bil. EPS rose to 77.55 sen versus 59.63 sen.
KLK, meanwhile, saw its net profit in the second quarter surge 50.06% to RM314.61mil from RM209.66mil, on the back of a 31.24% increase in revenue to RM2.93bil against RM2.24bil in the previous year.
EPS stood at 29.5 sen, better than 19.7 sen it reported earlier. KLK also said it would pay a dividend of 15 sen per share.
The plantation giant’s net profit in the six months to March climbed 29.05% to RM607.29mil versus RM470.58mil, while sales expanded 19.13% to RM5.43bil from RM4.56bil. EPS came in at 57 sen compared with 44.2 sen last year.
Batu Kawan said in the notes to its accounts that revenue rose in the first half of the year on better sales across all segments, except for property development.
Its plantations segment reported a profit of RM554.7mil, up 19% from last year due to higher selling prices of crude palm oil (CPO) and palm kernel, even though its crop production of both palm oil and rubber dipped.
Manufacturing profits jumped to RM260.79mil from RM173.4mil on improved sales volumes, particularly from fatty acids and specialties products, and higher selling prices.
For property development, however, the group said revenue tumbled 54% to RM48.86mil and profit 40% to RM21.62mil on a decline in profit recognition from the development project in Bandar Seri Coalfields, Sungai Buloh, Selangor.
KLK, meanwhile, received a boost to its earnings from higher average selling prices of CPO of RM2,392 per tonne, up 5.3% year-on-year, and palm kernel of RM1,542 per tonne, which rose 44%.
Its plantation profits increased to RM545.2mil as at March 31 from RM463.mil.