Malaysia's Sime Darby Plantation reported a second consecutive quarterly net profit on Wednesday, on higher palm oil prices, and said that it expects prices which have scaled record highs in recent weeks to remain firm.
By Reuters Staff
2 Min Read
KUALA LUMPUR, Feb 18 (Reuters) - Malaysia’s Sime Darby Plantation flipped to a profit in the fourth quarter and is optimistic for a good performance this year as crude palm oil prices are expected to rise, it said in a stock exchange filing on Thursday.
The world’s largest palm oil planter by land size posted a net profit of 149 million ringgit ($36.91 million) for the Oct-Dec period, versus a net loss of 58 million ringgit in the year earlier quarter.
Revenue rose 8% to 3.64 billion ringgit.
The company said continuing operations showed improved recurring profit before interest and tax, while discontinued operations recorded an impairment loss of 236 million ringgit in a joint venture.
(Recasts with production outlook, updates with details and quotes)
KUALA LUMPUR, Feb 18 (Reuters) - Malaysia’s Sime Darby Plantation, the world’s largest palm oil planter, forecast crude palm oil output in Malaysia and Indonesia would recover from last year’s decline, and is optimistic prices will remain high this year.
Production of the edible oil in the top two producing countries fell last year due to extreme weather conditions and a coronavirus pandemic-induced labour shortage in Malaysia.
“This year we expect some recovery in (Malaysia’s) production, I expect not less than what we achieved in 2019,” group managing director Mohamad Helmy Othman Basha told a media briefing on Thurdsay.