Sarawak Plantation optimistic over improved production in FY25

PETALING JAYA: Sarawak Plantation Bhd said the outlook for crude palm oil (CPO) price remains positive, supported by resilient demand and biodiesel policies in  key markets. 

For the third quarter of Sept 30, 2025 (3Q25), the company saw a marginal increase of 0.2% year-on-year (y-o-y) in earnings to RM31.1mil, or earnings per share (EPS) of 11.15 sen. 

Revenue, however, fell by 6% y-o-y to RM139.7mil on lower sales volume of CPO and palm kernel (PK) despite higher realised average selling prices during the current financial period. 

For the nine-month period ended Sept 30, 2025 (9M25), Sarawak Plantation's net profit grew by 6% y-o-y to RM80.6mil or EPS of 28.89 sen while revenue declined marginally by 0.4% y-o-y to RM406.2mil. 

In a filing with Bursa Malaysia, it said the average selling prices of CPO and PK had increased by 8.9% and 44.1% respectively while sales volumes of CPO and PK had decreased by 13% and 14.7% respectively for the current financial period.

The company said fresh fruit bunches production in 3Q25 generally lagged behind the past years’ trend, indicating a delay in the usual peak crop season. 

It was confident of an improved production performance for the current financial year subject to a sustainable CPO price.

Sarawak Plantation declared a second interim single tier dividend of 15 sen per share, payable on Dec 26, 2025, with the ex-date on Dec 5, 2025.