Friday 29 Mar 2024
By
main news image

KUALA LUMPUR (May 23): Boustead Plantations Bhd’s net profit climbed 3% to RM43.68 million in the first quarter ended March 31, 2017 (1QFY17), from RM42.59 million a year earlier, on higher oil palm output and crude palm oil (CPO) prices.

In a statement to Bursa Malaysia today, Boustead Plantations said revenue rose to RM189.02 million, from RM136.98 million in 1QFY16. Boustead Plantations declared a dividend of 2.5 sen a share for the quarter in review.

Boustead Plantations said profit rose on "buoyant palm product prices" and "better crop production". The company said its CPO average selling price rose 40% to RM3,166 a tonne, while oil palm fresh fruit bunch (FFB) output increased to 209,526 tonnes, from 185,205 tonnes.

In a separate statement, Boustead Plantations vice chairman Tan Sri Lodin Wok Kamaruddin said the oil palm FFB output uptrend was expected to continue on recovery from the El Nino weather phenomenon.
 
"However, CPO prices will likely be mitigated by the bumper crop of soybean in the US and South America, coupled with growing pressures on biodiesel supplies to the US and Europe, as well as low crude oil prices.

“The market is predicted to remain challenging in the second half of the year, with the possibility of higher CPO production which could result in a build-up of inventories,” Lodin said.

      Print
      Text Size
      Share