United Plantations sees 51.7% rise in Q2 profit

PETALING JAYA: United Plantations Bhd registered a 51.7% increase in net profit to RM109.75 million for the second quarter ended June 30, 2017 compared with RM72.35 million in the previous corresponding period, underpinned by higher production and CPO prices.
Its revenue expanded 27.9% from RM277.73 million to RM355.26 million.
The group said in a filing with Bursa Malaysia that average CPO prices for June 2017 stood at RM2,536 per tonne against RM2,245 for June 2016.
In view of the current prevailing prices of palm oil and palm kernel oil with prices contracted under the forward sales policy, coupled with large areas steadily coming into maturity from its replanted areas, United Plantations, while acknowledging the challenges ahead, expects the results for 2017 to be satisfactory.
United Plantation's first-half net profit soared 41.9% from RM132.11 million to RM187.42 million. Revenue came in at RM734.5 million, 36.7% higher than the RM537.31 million it made a year ago.