MARKET DEVELOPMENT
Sinar Mas Agro Resources’ First-Half Profit Rises 21% on Palm Oil Demand
Sinar Mas Agro Resources’ First-Half Profit Rises 21% on Palm Oil Demand
01/08/2014 (Jakarta Globe) - Sinar Mas Agro Resources & Technology, an agribusiness unit of the Sinar Mas Group, posted a 21 percent increase in profit for the first half of the year on strong palm oil demand in Indonesia.
Profit at the listed agribusiness company known as Smart climbed to Rp 961 billion ($84 million) in the January-June period from Rp 795 billion the same period in 2013, according to the company’s statement released to the Indonesia Stock Exchange (IDX) on Thursday. Revenue rose 56 percent to Rp 17 trillion.
Domestic sales surged 75 percent to Rp 8.8 trillion, while exports climbed 40 percent to Rp 8.67 trillion.
Smart produces crude palm oil, tea leaves, and refined palm products such as a cooking oil. It sells margarine under the Filma brand. The company also manufactures bottles and caps.
The Jakarta-based company operates around 138,400 hectares of palms in Indonesia with 15 mills and four refineries.
Smart also manages palm oil plantations owned by its holding company Golden Agri-Resources, which has a total of 471,000 hectares of planted area as of March.
Producers of palm oil — which is used in various consumer goods from cooking oil to soaps — in Indonesia have been posting big earnings in the first half on the back of strong domestic demand amid a rising middle class.
Astra Agro Lestari, the agriculture arm of Astra International, had a 91 percent profit increase to Rp 1.37 trillion. Its revenue rose 46 percent to Rp 8 trillion.
Exports of crude palm oil and its derivatives from Indonesia, the world’s biggest palm oil supplier, climbed 23 percent to 1.7 million metric tons in May from 1.38 million in April, bolstered by a surge of demand from Bangladesh and Pakistan, according to the Indonesia Palm Oil Association.
Profit at the listed agribusiness company known as Smart climbed to Rp 961 billion ($84 million) in the January-June period from Rp 795 billion the same period in 2013, according to the company’s statement released to the Indonesia Stock Exchange (IDX) on Thursday. Revenue rose 56 percent to Rp 17 trillion.
Domestic sales surged 75 percent to Rp 8.8 trillion, while exports climbed 40 percent to Rp 8.67 trillion.
Smart produces crude palm oil, tea leaves, and refined palm products such as a cooking oil. It sells margarine under the Filma brand. The company also manufactures bottles and caps.
The Jakarta-based company operates around 138,400 hectares of palms in Indonesia with 15 mills and four refineries.
Smart also manages palm oil plantations owned by its holding company Golden Agri-Resources, which has a total of 471,000 hectares of planted area as of March.
Producers of palm oil — which is used in various consumer goods from cooking oil to soaps — in Indonesia have been posting big earnings in the first half on the back of strong domestic demand amid a rising middle class.
Astra Agro Lestari, the agriculture arm of Astra International, had a 91 percent profit increase to Rp 1.37 trillion. Its revenue rose 46 percent to Rp 8 trillion.
Exports of crude palm oil and its derivatives from Indonesia, the world’s biggest palm oil supplier, climbed 23 percent to 1.7 million metric tons in May from 1.38 million in April, bolstered by a surge of demand from Bangladesh and Pakistan, according to the Indonesia Palm Oil Association.