Genting Plantations posts higher revenue, profit in Q2

KUALA LUMPUR (Bernama) -- Genting Plantations Bhd’s (GenP) net profit has increased to RM22.64 million in second quarter ended June 30, 2020 (Q2 2020), from RM20.74 million in Q2 2019.

Revenue for the quarter rose to RM544.32 million from RM525.74 million previously, underpinned by higher palm product prices which eclipsed the lower sales registered by its property and downstream manufacturing segments.

In a filing with Bursa Malaysia today, the group said crude palm oil (CPO) price in Q2 2020 and the first half of 2020 (H1 2020) stood at RM2,325 per metric tonne and RM2,465 per metric tonne, respectively.

Palm kernel price in Q2 2020 and H1 2020 were RM1,295 per tonne and RM1,439 per tonne, respectively.

Meanwhile, the group said its fresh fruit bunches (FFB) production in H1 2020 declined year-on-year -- a lagged effect from the dry weather conditions in 2019 which crimped crop output this year.

Moving forward, GenP said it will track the performance of its mainstay plantation segment, which is in turn principally dependent on the movements in palm products prices and the group’s FFB production for the remainder of the year.