KUALA LUMPUR: MKH Oil Palm (East Kalimantan) Bhd’s (MKHOP) outlook for the financial year ending Sept 30, 2026 (FY26) remains well supported by strong demand for crude palm oil (CPO).
The upstream oil palm plantation company based in East Kalimantan, Indonesia, said CPO prices have been trading at around RM3,350 to RM3,550 per tonne (net of export levy and duty).
In FY25, MKHOP posted a record-high full-year profit, with net earnings rising 29% to RM82.8mil, or earnings per share of 8.15 sen from RM64.2mil in FY24, while revenue grew 3.1% to RM363.2mil.
The improved results were supported by higher average selling prices for CPO and palm kernel, as well as the commencement of crude palm kernel oil sales in February 2025.
MKHOP’s board also approved a second interim single-tier dividend of 2 sen per share for FY25. The dividend will be paid on Dec 30, 2025, to shareholders on the record of depositors as at Dec 12.
Meanwhile, in 4Q25, the company posted a net profit of RM13.9mil, down from RM21mil previously, while revenue eased to RM85.8mil from RM90.6mil.
Financially, MKHOP remains strong with negligible borrowings, and its cash balance stands at RM242.3mil, close to its record level.
“We announced the acquisition of PT. Tunas Tani Tutus on Aug 26, and as of Oct 20, we have received the approvals from the Ministry of Law in Indonesia, where PT. Tunas Tani Tutus is now a subsidiary of MKHOP.
“We are commencing work on our new land and will look to do our initial planting very soon,” chairman Tan Sri Alex Chen Kooi Chiew @ Cheng Ngi Chong said in a statement.
