KUALA LUMPUR: Genting Plantations Bhd's net profit for the second quarter ended June 30, 2024 (2Q 2024) rose to RM85.12 million from RM70.97 million in the same period last year, driven by gains in the plantation segment.

Revenue, however, fell by six per cent to RM757.16 million from RM805.95 million previously, it said in a filing with Bursa Malaysia today.

For the six months ended June 30, 2024, the group recorded a higher net profit of RM127.95 million as compared with RM109.78 million, while revenue was slightly lower at RM1.36 billion from RM1.39 billion.

Revenue was lower year-on-year for 2Q 2024 and the first half of 2024 (1H 2024), owing to lower sales volume in the downstream manufacturing segment, partly mitigated by higher palm product prices.

It achieved crude palm oil prices of RM3,797 per metric tonne (mt) and RM3,721 per mt in 2Q 2024 and 1H 2024, respectively, while palm kernel prices in 2Q 2024 and 1H 2024 were RM2,299 per mt and RM2,154 per mt, respectively.

"The group's fresh fruit bunch (FFB) production in 2Q 2024 and 1H 2024 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," the filing said.

An interim single-tier dividend of 8 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 2H 2024, showing improvement over 1H 2024.

"Notwithstanding the crop recovery in 2H 2024, production for the full year of 2024 is anticipated to be comparable to or marginally lower than the previous year," it said.

- BERNAMA

TAGS: Genting Plantations, 2Q, crude palm oil, FFB, interim dividend, prices