United Plantations Berhad (2089) Q1 2025 earnings summary

Executive summary

• Revenue rose 8.6% year-over-year to RM517.6 million, driven by higher CPO and PK production and prices in both plantation and refinery segments.

• Profit before tax increased 24.6% year-over-year to RM222.4 million, mainly from plantation segment gains.

• Net profit attributable to equity holders grew 22.9% year-over-year to RM163.3 million; EPS was 26.24 sen, up 22.9%.

Financial highlights

• Operating expenses decreased 0.5% year-over-year to RM309.5 million.

• Interest income declined 18.5% year-over-year due to lower deposits.

• Total comprehensive income rose 44.6% year-over-year to RM161.7 million.

• Net assets per share increased to RM4.76 from RM4.50 at year-end 2024.

• Cash and cash equivalents at quarter-end were RM640.2 million, up from RM484.5 million at year-end 2024.

Outlook and guidance

• Palm oil prices supported by lower production and Indonesia's B40 mandate, but risks include geopolitical tensions, US tariffs, and possible production recovery.

• Management expects satisfactory results for 2025, focusing on yield improvements and cost control.