PETALING JAYA: Hap Seng Plantations Holdings Bhd
is poised for earnings recovery in the second half of 2025, (2H25) supported by seasonally stronger fresh fruit bunch (FFB) output, firm crude palm oil (CPO) prices and better cost efficiency, says Phillip Capital Research.
However, rising fertiliser costs, elevated labour costs and regulatory risks will continue to pose structural headwinds, capping the group’s near term earnings visibility.
The research house, in a note to clients, said that FFB production is expected to remain broadly flat year-on-year (y-o-y) at 656,000 tonnes, with stronger 2H25 output offsetting the 4% y-o-y decline in 1H25 to 276,500 tonnes.
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