The group said its fresh fruit bunches production in 2Q24 and 1H24 were marginally lower year-on-year, mainly due to high rainfall and low cropping trend.
KUALA LUMPUR: Genting Plantations Bhd
’s net profit for the second quarter ended June 30, 2024 (2Q24) rose to RM85.12mil from RM70.97mil in the same period last year, driven by gains in the plantation segment.
Revenue, however, fell by 6% to RM757.16mil from RM805.95mil previously, it said in a filing with Bursa Malaysia yesterday.
For the six months ended June 30, 2024, the group recorded a higher net profit of RM127.95mil compared with RM109.78mil, while revenue was slightly lower at RM1.36bil from RM1.39bil.
Revenue was lower year-on-year for 2Q24 and the first half of 2024 (1H24) due to the decreased sales volume in the downstream manufacturing segment, partly mitigated by higher palm product prices.
It achieved crude palm oil prices of RM3,797 per tonne and RM3,721 per tonne in 2Q24 and 1H24, respectively, while palm kernel prices in 2Q24 and 1H24 were RM2,299 per tonne and RM2,154 per tonne, respectively.
“The group’s fresh fruit bunch (FFB) production in 2Q24 and 1H24 were marginally lower year-on-year, mainly due to high rainfall and low cropping trend.
“Additionally, the ongoing replanting programme in Malaysia has led to a reduction in harvesting area,” it said.
An interim single-tier dividend of eight sen per ordinary share has been declared, payable on Sept 30, 2024.
On prospects, the group anticipates tracking the performance of its mainstay plantation segment for the rest of the year, which is in turn dependent principally on the movements in palm product prices and the group’s FFB production.
“Barring any unusual weather conditions, the group anticipates higher FFB production for 2H24, showing improvement over 1H24.
“Notwithstanding the crop recovery in 2H24, production for the full year is anticipated to be comparable to or marginally lower than the previous year,” it said. — Bernama
