Harn Len returns to black in Q3 with RM113.3 mln profit - Bernama

KUALA LUMPUR, Nov 26 -- Harn Len Corp Bhd returned to the black in the third quarter ended Sept 30, 2020, with a net profit of RM113.28 million against a net loss of RM6.98 million in the same quarter last year.

The group’s revenue increased by 19.5 per cent to RM36.14 million from RM30.23 million a year ago, the oil palm plantation and oil milling operator said in a filing with Bursa Malaysia today.

“Growth was mainly due to higher average selling prices of crude palm oil (CPO) and palm kernel,” it said.

For the first nine months of the current financial year, Harn Len recorded a net profit of RM98.44 million versus a net loss of RM26.91 million, while its revenue rose by 12.1 per cent to RM82.81 million from RM73.84 million previously.

Harn Len’s plantation division remained the major revenue contributor, accounting for 97 per cent of total revenue, followed by three per cent from the property and other divisions.

Managing director Low Quek Kiong said the group’s prospects were bright as the CPO price increased to the RM3,000 level since the end of the third quarter.

“Our significantly enhanced financial position from the gain on disposal, aided by the favourable buoyant CPO price, means we can continue to commit to our key measurements and rollout our strategic executions to improve productivity and profitability.

“This enables delivery of sustainable growth while maintaining an optimistic outlook on the sector and CPO price,” he said.

Harn Len expects the CPO price rally to continue and soften in the second quarter of the financial year 2021 onwards with an average price of RM2,500 per tonne.