Sarawak Plantation net profit jumps 59% in 1Q

KUALA LUMPUR: Sarawak Plantation Bhd (SPB) expects crude palm oil (CPO) prices to remain strong this year due to slowing palm oil supply growth and rising demand.

“SPB Group continues to focus on sustaining enough fresh fruit bunches production, improving productivity aiming at optimising costs of operation and prioritising its replanting activities to attain long term sustainable yield and production.

“Barring any unforeseen circumstances and subject to a sustainable CPO price, the board of directors anticipates achieving a satisfactory performance for the current financial year,” SPB said in a filing with Bursa Malaysia.

In the first quarter ended March 31, SPB’s net profit jumped 58.6% to RM19.1mil compared with RM12mil in the same period last year.

Revenue rose 14.2% to RM127.3mil against RM111.4mil a year ago while earnings per share stood at 6.84 sen from 4.31 sen last year.

The board of directors declared a first interim, single tier dividend of 5 sen per share, totalling RM14mil, in respect of the financial year ending Dec 31, 2024, to be paid to shareholders on July 19. The dividend entitlement date shall be on June 21.