Orang asli villager Razali bin Abdul Fattah, 62, harvesting oil palm fresh fruit bunches in Kampung Chenderong Kelubi in Kampung Gajah, Perak.
KUALA LUMPUR: Boustead Plantations Bhd
(BPB) posted earnings of RM22.69mil for the second quarter (Q2) ended June 30, down 77% from a year earlier due to an extraordinary gain of RM89.6mil in the same quarter of last year from a disposal of plantation land.
Profit from operations showed a solid growth of 36% to RM33.14mil, contributed by better fresh fruit bunches (FFB) production and crude palm oil prices.
In a filing with Bursa Malaysia, BPB said revenue slid 3% to RM169.49mil.
For the first six months of the year, BPB’s earnings were more than halved (-53%) to RM66.37mil although revenue improved 15% to RM358.51mil.
However, excluding the gain on disposal of plantation land totalling RM124.2mil, pre-tax profit improved 217% from the previous corresponding period, BPB noted.
FFB production for the half-year period increased by 10% to 440,075 tonnes.
The company also pointed out that crude palm oil (CPO) achieved an average selling price of RM2,969 per tonne for the period, an increase of RM545 per tonne or 22% from the same period last year.
On the prospects for the rest of the year, it said the group’s profitability depended on the price direction of CPO and crop production.
“FFB yields are improving in Peninsular Malaysia and Sabah regions, but labour shortage coupled with difficult ground conditions in Sarawak may hamper crop production,” it added.
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