Latest news with #UnitedPlantationsBhd
The Star
12-05-2025
- Business
- The Star
United Plantations set on remaining competitive
PETALING JAYA: United Plantations Bhd will remain alert and adapt to the changing environment for this year. Chairman Datuk Mohamad Nasir Abdul Latif believes two key themes will likely shape the global economy in 2025, namely the normalisation of inflation rates and the loosening of monetary policy. Both of these, he said, should offer some support to gross domestic product growth. 'Nevertheless, central banks remain cautious about loosening policies too rapidly as inflation is stickier than expected, which could indicate that rates may stay higher for longer,' he said in the company's annual report. 'Furthermore, the escalating conflicts in the Middle East and Ukraine as well as the slowdown in the Chinese economy may provide setbacks in global trade, which in turn would impact the supply and demand equation for vegetable oils, hereunder palm oil,' Mohamad Nasir added. He noted that the recent price increase in vegetable oils should not be taken for granted. 'In the United Plantations Group we will therefore continue to focus on raising productivity and cost efficiencies to remain competitive when prices head south again. 'With the board and management's focus I am confident that we will remain alert and adapt to the changing environment by having an open mind, remaining agile and by having the courage to innovate and stimulate progress whilst ultimately preserving our core values,' he said. Reflecting on the past year, Mohamad Nasir said the global economy led by the United States has been resilient amidst an environment of high interest rates introduced to curb inflation. Commenting on the group's performance, Mohamad Nasir said United Plantations has remained resilient amidst the global uncertainty and achieved a new record after-tax profit of RM719mil for the financial year 2024. 'This represents an increase of RM8mil equal to a 1.1% improvement when compared with the result of RM711mil in 2023. 'This record result was primarily driven by the higher commodity prices achieved by United Plantations, along with the continued efforts of our estates to optimise yields wherever possible using our in-house high-yielding planting materials and by further strengthening and implementing our proven management practices.' Separately, he said the group's plantations in Indonesia were significantly compounded by weather conditions during the year, where rainfall on most of its estates was 50% to 60% higher than the norm. 'This and others resulted in our production declining 11% in 2024 compared to 2023, thus impacting the overall group production for the year.' He added that the group's downstream refinery sector also encountered challenges in 2024. This was mainly in the form of increased competition from Indonesia and margin pressure. 'Even so, we achieved a commendable result, driven by our unwavering commitment and focus on high quality and sustainability, which has ensured stability and sustained partnerships with both local and global customers,' he said.
New Straits Times
23-04-2025
- Business
- New Straits Times
United Plantations 1Q 2025 net profit rises to RM163.26 mil
KUALA LUMPUR: United Plantations Bhd posted a higher net profit of RM163.26 million for the first quarter ended March 31, 2025 (1Q 2025), up from RM133.54 million a year earlier. Revenue for the quarter rose by 8.6 per cent to RM517.63 million from RM476.75 million previously. In a filing with Bursa Malaysia today, the company said that revenue growth was mainly driven by increases in the plantation and refinery segments during the quarter, primarily due to higher crude palm oil and palm kernel production and prices. "The company's profit before tax at RM222.4 million for the current quarter was also higher by 24.6 per cent compared to RM178.4 million in the corresponding quarter, mainly due to a higher contribution from the plantation segment," United Plantations said. On prospects, the company said that it remains focused on operations and is undertaking various measures to improve yields and productivity through ongoing mechanisation initiatives, and the replanting of older, less productive oil palm stands with its latest in-house high-yielding planting materials. "Looking ahead, we remain mindful of the challenges for the remainder of the year. However, based on the performance to date, a stable labour situation, and the company's strong commitment to securing the budgeted crop, the board of directors expects the results for 2025 to be satisfactory," it added.
