Golden Agri-Resources (GAR) has posted higher earnings for the 1HFY2025 ended June 30, up 56.5% y-o-y to US$160.3 million.
The group’s revenue for the 1HFY2025 came in 19.6% y-o-y higher at US$6.15 billion, and gross profit grew 29.3% y-o-y to US$868.5 million.
The group’s growth in revenue was supported by a 19% increase in crude palm oil (CPO) market prices (FOB Belawan). Higher plantation output allowed GAR to capitalize on stronger CPO prices, while offsetting reduced sales volumes.
GAR’s yield intensification efforts, coupled with favourable weather conditions, contributed to
9% y-o-y growth in fresh fruit bunch (FFB) productivity, while palm product output also rose by 9% y-o-y to 1.3 million tonnes.
A combination of higher plantation output and appreciation in CPO prices translated to a strong
51% growth in ebitda for this segment to US$320 million, at a margin of 27%. GAR’s plantation and palm oil mills.
Meanwhile, the group’s downstream segments, which consists of processing and merchandising palm and oilseed-based products, saw a 2% y-o-y dip in sales volume to 5.6 million tonnes. Ebitda decreased by 13% to US$246 million, with a lower margin of 4% as a result of weaker refining margins.
See also: Creative remains in the red for FY2025; guides for better FY2026
GAR’s gearing ratio and net debt to ebitda decreased to 0.61 times and 22 times respectively as at end June.
Shares in Golden Agri-Resources closed flat at 26.5 cents on Aug 14.
