Bumitama Agri Q2 profit falls 39% to 107.6b rupiah

BUMITAMA Agri's second-quarter net profit fell 39 per cent to 107.6 billion rupiah, or 61 rupiah per share, on lower sale of crude palm oil (CPO).

Revenue shrank 12.9 per cent to 1.4 trillion rupiah in the three months ended June 30, as CPO sales dropped 21 per cent to 1.1 trillion rupiah.

For the first half of the year, however, net profit rose 2.8 per cent to 337.1 billion rupiah.

The company said that CPO prices will continue to be affected by a slowing global economy.

"Therefore the group will continue to focus on yield and productivity improvement as well as cost management," the company said. "After suffering from low production during the first half of this year due to severe drought last year, we expect our production to start to recover in the second half of this year."