Our website is made possible by displaying online advertisements to our visitors.
Please consider supporting us by disabling your ad blocker.

Cepatwawasan 2Q net profit up 91% boosted by higher sales volumes

TheEdge Wed, Aug 09, 2017 07:58pm - 2 years ago

KUALA LUMPUR (Aug 9): Sabah-based Cepatwawasan Group Bhd’s net profit jumped 91% to RM9.68 million or 3.13 sen per share in the second quarter ended June 30, 2017 (2QFY17) from RM5.07 million, or 1.64 sen per share, a year earlier.

Quarterly revenue ballooned 37% to RM70.35 million from RM51.28 million in the previous corresponding quarter a year ago.

The group attributes the improved quarterly earnings mainly to the increase in sales volume of crude palm oil (CPO) by 33%, palm kernel (PK) by 32% and fresh fruit bunches (FFB) by 46%, FFB production by 15%, milling margin and higher export of electricity and empty fruit bunch (EFB) oil selling price.

In a bourse filing today, Cepatwawasan said the plantation segment saw a 43% increase in pre-tax profit from RM6.78 million to RM9.73 million mainly due to increase in FFB production by 15%.

Its oil mill recorded an increase in profit before tax of RM1.25 million from a pre-tax loss of RM0.82 million due to wider milling margin for the current quarter under review.

Cepatwawasan highlighted that the pre-tax profit generated from the power plant grew to RM2.73 million from RM1.22 million underpinned by the increase in exporting electricity by 41% and higher EFB oil selling price by 32%.

For the six-month period (1HFY17), net profit grew 241% to RM15.9 million or 5.15 sen per share from RM4.67 million or 1.51 sen per share a year ago as a result of an increase in average selling prices of CPO, PK and FFB.

Revenue for 1HFY17 jumped 43% to RM129.41 million from RM90.17 million in 1HFY16, it said.

Moving forward, the group said for the rest of 2017, palm products prices and crop production yield will significantly influence the performance of the group.

“The board expects a continuous recovery in FFB production and a higher contribution from the power plant segment with the increase in efficiency in the power plants,” it said.

Related Stocks

CEPAT 0.460


Login to comment.