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Golden Agri posts higher Q2 profit on lower operating expenses
GOLDEN Agri-Resources reported a 42.2 per cent jump in net profit to US$38.75 million for the second quarter ended June 30, on the back of lower operating expenses.
This was despite a 10.2 per cent slide in revenue to US$1.83 billion.
For the first half, profit slumped 57.3 per cent to US$55.94 million while revenue slid 14.4 per cent to US$3.38 billion due to the lower average crude palm oil (CPO) prices and lower output.
The group said that its operating performance will continue to be impacted by fluctuating CPO prices, currency volatility and climatic conditions.
"Nonetheless, demand for palm oil is expected to benefit from the implementation of biofuel policy in Indonesia," it added. "The group will continue optimising the integration of our downstream value chain, as well as improving our yield and cost efficiency."
Meanwhile, it warned that the operating environment for its oilseeds segment is expected to remain challenging.