IOI Corp, Malaysia’s second-biggest palm oil planter by market value, said second-quarter profit gained 11 per cent on higher crude palm oil prices.
Net income advanced to RM577.7 million (US$191 million), or 9 sen a share, in the three months ended Dec 31, from RM520.2 million or 8 sen, a year earlier, the company said in a statement today. Sales increased 5 per cent to RM4.17 billion on higher contributions from the group’s core palm oil business.
IOI fetched an average RM3,032 a metric ton for its crude palm oil in the quarter, compared with RM2,800 a year ago, it said.
Palm futures gained 9.3 per cent in the quarter ended Dec 31. The May-delivery contract gained as much as 0.7 per cent to RM3,272 a ton on the Malaysia Derivatives Exchange today after reaching an 8-month high of RM3,294 ringgit.
Palm-oil exports from Malaysia, the second-largest producer, may climb as much as 10 per cent this year, expanding faster than local output and helping to drive down stockpiles and support prices, Lee Yeow Chor, IOI’s executive director and chairman of the Malaysian Palm Oil Council, said on Feb. 15. Prices may reach RM4,000 a ton by June, Dorab Mistry, a director of Godrej International Ltd., forecast in December.
IOI declined 0.2 per cent to RM5.33 at 3:40 p.m. local time compared with the 0.1 drop in the benchmark FTSE Bursa Malaysia KLCI Index.
“The plantation segment is expected to perform well for the current financial year on the back of strong crude palm oil prices and higher FFB productions,” IOI said.
IOI’s resource-based manufacturing segment reported a 22 per cent rise in profit to RM124.2 million on increased margins from oleochemicals and higher sales from specialty fats and refineries, according to the statement.
Property development earnings rose 16 per cent to RM146.1 million, it said. The group generates around 5.9 per cent of its revenue from real estate including investments, according to data compiled by Bloomberg.
The company declared an interim dividend of 7 sen per ordinary share for the financial year ending June 2012. -- Bloomberg
Net income advanced to RM577.7 million (US$191 million), or 9 sen a share, in the three months ended Dec 31, from RM520.2 million or 8 sen, a year earlier, the company said in a statement today. Sales increased 5 per cent to RM4.17 billion on higher contributions from the group’s core palm oil business.
IOI fetched an average RM3,032 a metric ton for its crude palm oil in the quarter, compared with RM2,800 a year ago, it said.
Palm futures gained 9.3 per cent in the quarter ended Dec 31. The May-delivery contract gained as much as 0.7 per cent to RM3,272 a ton on the Malaysia Derivatives Exchange today after reaching an 8-month high of RM3,294 ringgit.
Palm-oil exports from Malaysia, the second-largest producer, may climb as much as 10 per cent this year, expanding faster than local output and helping to drive down stockpiles and support prices, Lee Yeow Chor, IOI’s executive director and chairman of the Malaysian Palm Oil Council, said on Feb. 15. Prices may reach RM4,000 a ton by June, Dorab Mistry, a director of Godrej International Ltd., forecast in December.
IOI declined 0.2 per cent to RM5.33 at 3:40 p.m. local time compared with the 0.1 drop in the benchmark FTSE Bursa Malaysia KLCI Index.
“The plantation segment is expected to perform well for the current financial year on the back of strong crude palm oil prices and higher FFB productions,” IOI said.
IOI’s resource-based manufacturing segment reported a 22 per cent rise in profit to RM124.2 million on increased margins from oleochemicals and higher sales from specialty fats and refineries, according to the statement.
Property development earnings rose 16 per cent to RM146.1 million, it said. The group generates around 5.9 per cent of its revenue from real estate including investments, according to data compiled by Bloomberg.
The company declared an interim dividend of 7 sen per ordinary share for the financial year ending June 2012. -- Bloomberg
