Japfa net profit grew 54.3% YoY to US$118.5m in H1

Its revenue also rose 23.4% YoY to. US$2,262.4m in the same period. 

Agri-food company Japfa Ltd saw a 54.3% year-on-year (YoY) increase in net profit attributable to owners to US$118.5m in the first half of 2021 from US$76m last year, on the back of revenue growth in three segments.

Its revenue grew 23.4% YoY to US$2,262.4m from US$1,833.4m. Its operating profit or earnings from core operations soared 84.8% YoY to US$270.9m from US$146.6m.

The revenue growth is driven by the PT Japfa Tbk, Animal Protein Other (APO), and Dairy segments.

PT Japfa Tbk’s revenue grew 25.6% YoY to US$1,539.6 million due to higher sales volumes of feed, Day-Old-Chick and broiler, while APO’s revenue increased 26% YoY to US$459.6m, driven by the performance of Vietnam and by higher swine fattening sales volume and swine feed.

Its dairy segment, meanwhile, rose 6.6% to US$260.7m due to higher sales volumes of raw milk and beef in China.

“In the first half of 2021, we delivered a strong set of results across all segments and the Rolling Core profit after taxation and minority interests w/o Forex for the past 12 months ending 30 June 2021 reached again a new all-time high since initial public offering at US$223.2 million. This performance reflects our ability to execute, as well as our diversification strategy, which has proved to be effective even in the current unpredictable COVID-19 environment,” Japfa CEO Tan Yong Nang said.

“As demonstrated by the recent acquisition of two dairy farms in China and the expansion of our swine farming capacity in Vietnam, we remain focused on growth to deliver value to our shareholders, while continuing to feed people in Asia,” Tan added.