KUALA LUMPUR: Boustead Plantations Bhd, which made its debut on the Main Market of Bursa Malaysia in June this year, recorded a net profit of RM17 million on revenue of RM162.9 million for the third financial quarter ended Sept 30, 2014 (3QFY14), driven by higher production and increased selling prices of crude palm oil (CPO) and palm kernel (PK).

Boustead Plantations said the 3QFY14 results were “satisfactory” and declared a second interim dividend of two sen per share, bringing the total dividend declared to four sen per share for the financial year ending Dec 31, 2014.

For the nine-month period (9MFY14), the plantation firm registered a stronger net profit of RM57.6 million, close to doubling the RM31 million it saw a year ago. Revenue came in at RM550.2 million.

Earnings per share stood at 4.74 sen in 9MFY14, while net assets per share were RM1.45 as at Sept 30, 2014.

Boustead Plantations said average selling price for CPO for 9MFY14 rose 6.2% to RM2,477 per tonne, from RM2,333 per tonne a year ago. Average PK price was RM1,802 per tonne.

Its fresh fruit bunch production grew 4% to 773,937 tonnes in 9MFY14, while CPO production rose 8% to 183,930 tonnes, with a 4% improved oil extraction rate of 21.7%.

The peninsula was the group’s biggest contributor, with an operating profit of RM61.7 million for 9MFY14, up 47% from a year ago.

Sabah contributed operating profit of RM48.4 million — four times more than a year ago, while Sarawak recorded an operating profit of RM6.2 million, a reversal from the RM2.1 million loss a year ago.

Boustead’s share price closed up one sen or 0.66% at RM1.52 yesterday, bringing a market capitalisation of RM2.42 billion.

This article first appeared in The Edge Financial Daily, on November 20, 2014.