Wilmar International (F34) H2 2024 earnings summary

Executive summary

• FY2024 core net profit declined 25.7% year-over-year to US$1.16 billion, mainly due to the absence of a US$231 million gain on disposal of Cosumar in FY2023 and a net loss from a share swap in China associates and JV in 2H2024.

• Revenue increased marginally by 0.3% to US$67.38 billion for FY2024, with stronger sales in Food Products and Feed & Industrial Products offset by weaker sugar prices.

• Food Products segment profit surged 70.2% year-over-year, while Feed & Industrial Products and Plantation & Sugar Milling segments saw profit declines.

• Net profit for FY2024 was US$1.17 billion, down from US$1.52 billion in FY2023.

Financial highlights

• FY2024 revenue: US$67.38 billion (+0.3% year-over-year); 2H2024 revenue: US$36.44 billion (+5.3% year-over-year).

• FY2024 net profit: US$1.17 billion (-23.3% year-over-year); 2H2024 net profit: US$590.2 million (-39.4% year-over-year).

• EBITDA for FY2024: US$3.89 billion (-2.0% year-over-year).

• Basic EPS for FY2024: 18.7 US cents (-23.4% year-over-year).

• Net tangible asset per share: US$2.77 (down 1.1% from prior year).

Outlook and guidance

• Expectation to increase market share in Food Products in FY2025, leveraging reputation for quality and healthy food.

• Palm oil refining to remain challenging; cautiously optimistic on oilseeds business due to record soybean crop in Brazil.

• Confident of satisfactory FY2025 results barring unforeseen circumstances.