KIM LOONG NET PROFIT FOR FY2023 UP 19 PCT ON HIGHER CPO PRICES

KUALA LUMPUR, March 29 (Bernama) -- Kim Loong Resources Bhd’s net profit for the financial year ended Jan 31, 2023 (FY2023) rose 19 per cent to RM162.56 million from FY2022. 

Its revenue grew 12 per cent to RM1.91 billion, mainly due to higher average selling prices of fresh fruit bunches (FFB) and crude palm oil (CPO) by 10 per cent and 9 per cent, respectively. 

“The FFB and CPO production for the year was higher by 8 per cent and 6 per cent, respectively, compared to the (year before),” it said in a filing with Bursa Malaysia today. 

For the fourth quarter of 2023 (4QFY2023) ended Jan 31, 2023, Kim Loong’s net profit was higher at RM36.92 million compared to RM30.96 million registered in the previous corresponding quarter.

However, its revenue slipped by 13 per cent to RM431.82 million versus RM496.63 million recorded in the corresponding quarter in 2022.

Moving forward, the planter forecast that its FFB production for the current financial year ending Jan 31, 2024 (FY2024) could be 15 per cent higher than in FY2023 due to more replanted areas coming into maturity and the better age profile of the trees.

“As for palm oil milling operations, we expect the total processing quantity could maintain at least 1.5 million metric tonnes of FFB for the current financial year,” it said. 

“Our biogas plant at Keningau has commenced supply of power to the grid in December 2022 and we expect this plant could contribute positively to revenue in the FY2024,” it added. 

Additionally, Kim Loong said that another biogas plant at Telupid is expected to commence operations in the second half of the financial year 2024.

The expected average CPO price for FY2024 could stand above RM4,000 per tonne, it added.

-- BERNAMA