KUALA LUMPUR: Genting Plantations Bhd
’s net profit for the financial year ended Dec 31, 2023, (FY2023) slipped to RM253.48 million from RM471.42 million recorded in FY2022.
Revenue fell to RM2.96 billion from RM3.18 billion previously, the group said in a filing with Bursa Malaysia today.
The lower revenue was primarily attributed to weaker oil palm products prices which outweighed the higher fresh fruit bunches (FFB) production,” it said.
"FFB production for FY2023 increased year-on-year, mainly driven by the group’s Indonesian
estates due to their favourable age profile and expanded harvesting area.
"Meanwhile, the Malaysian estates experienced a marginal setback as a result of its ongoing replanting activities,” it said.
Genting Plantations said the group’s outlook for 2024 will track the performance of its mainstay plantation segment, which is, in turn, dependent on the movements in the prices of oil palm products and the group’s FFB production.
"In the immediate term, the group expects palm oil prices to remain supported by global supply tightness owing to weaker production prospects and uncertain weather conditions.
"Other contributing factors include growing biodiesel demand globally following the rise in biodiesel mandates,” it said.
For the fourth quarter ended Dec 31, 2023 (4Q 2023), the group’s net profit increased to RM63.19 million from RM55.85 million recorded in 4Q 2022, while revenue rose to RM800.45 million from RM791.18 million previously. - Bernama
