Golden Agri-Resources Q2 net profit down 45% on absence of tax credit

THE absence of deferred income tax credit took a toll on results for Golden Agri-Resources in its second quarter.

Net profit dived 44.7 per cent to US$21.9 million from the preceding year, the group said in a Singapore Exchange filing on Monday evening.

For the three months ended June 30, revenue crept up 0.8 per cent to US$1.76 billion from the previous year. The growth in revenue was mainly due to higher average crude palm oil prices and the recovery in palm production, it said.

Earnings per share came in at 0.17 US cents, down from 0.31 US cents in the preceding year.

The firm said it expects crude palm oil prices to remain supported by increasing demand, especially through the growth in biodiesel use in Indonesia, even as production rises.

It added: "The group will continue to optimise margins through further streamlining of its vertically integrated operations, as well as to improve its yield and cost efficiency."