Bumitama Agri profits grow 157.1% to $29.2m

Higher fresh fruit bunches output was amongst the growth drivers.

Bumitama Agri's profits grew 157.1% YoY from $11.3m (IDR111.1b) to $29.2m (IDR285.7b) in Q2, according to RHB.

Revenue also increased 39.5% YoY from $142.9m (IDR1.4t) to $194m (IDR1.9t) for Q2, whilst for the half year, it increased 40.1% from $296.1m (IDR2.9t) to $408.4m (IDR4t).

RHB said the increase was because of higher crude palm oil (CPO) and palm kernel (PK) prices, contributions from its biodiesel unit, and higher fresh fruit bunches (FFB) output.

Bumitama recorded a strong FFB output growth of 54.9% YoY on the back of some 8,800ha of land that came into maturity in 1H17.

For Q2, FFB output grew 90.1% YoY.

Bumitama saw an increase in CPO output of 41% YoY but sales volumes of CPO only rose by 19% YoY. This could be due to some inventory build-up during the quarter.

Photo by Wagino 20100516 [CC BY-SA 3.0], via Wikimedia Commons