Bumitama Agri has reported a net profit of IDR597.88 billion ($50.7 million) for the 3QFY2024 ended Sept 30, 31.6% lower y-o-y. Core profit for the period fell by 46.8% y-o-y to IDR501.12 billion.
3QFY2024 revenue fell by 7.6% y-o-y to IDR3.98 trillion while gross profit fell by 37.9% y-o-y to IDR1 trillion. Gross profit margin fell by 12.3 percentage points y-o-y to 25.3%.
Ebitda for the quarter fell by 34.5% y-o-y to IDR1.06 billion while ebitda margin fell by 10.9 percentage points y-o-y to 26.7%.
Fresh fruit bunches (FFB) production remained “muted” in the 3QFY2024 due to a lower bunch count, although the group noted that production in October rose “pronouncedly”. Total FFB production fell by 19% y-o-y in the 3QFY2024 to 1.24 million tonnes as both internal and external production declined.
3QFY2024 FFB yield fell by 25% y-o-y to 4.5 tonnes per hectare. The group’s oil extraction rate (OER) fell by 1.2% y-o-y to 21.8% in the same period.
Revenue for crude palm oil (CPO) fell by 10% y-o-y to IDR3.5 trillion while revenue for palm kernel (PK) rose by 19% y-o-y to IDR465 billion.
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The sales volume for CPO fell by 24% y-o-y to 276,000 tonnes as production volume fell by 23% y-o-y to 269,000 tonnes.
At the same time, the sales volume for PK also fell by 24% y-o-y to 59,000 tonnes as production volume fell by 25% y-o-y to 55,000 tonnes.
The average selling price (ASP) for CPO, however, rose by 18% y-o-y to IDR12,700 per kg. PK’s ASP also increased by 57% y-o-y to IDR7,900 per kg. The increases mark the fourth consecutive rise in quarterly ASPs for the group.
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During the 9MFY2024, net profit fell by 29.5% y-o-y to IDR1.45 trillion while core profit fell by 29.4% y-o-y to IDR1.41 trillion.
9MFY2024 revenue dipped by 1.9% y-o-y to IDR11.58 trillion while gross profit fell by 25.6% y-o-y to IDR2.8 trillion. Gross profit margin fell by 7.8 percentage points y-o-y to 24.2% in 9MFY2024.
9MFY2024 ebitda fell by 22.4% y-o-y to IDR2.85 trillion as ebitda margin fell by 6.6 percentage points y-o-y to 24.6%.
Looking ahead, Bumitama Agri P8Z says the peak producing quarter in 2024 is expected to be at the “back end”, similar to the production patterns of 2013 and 2020. In both years, the group saw flat output for the first nine months and a spike in FFB output in the fourth quarter.
As such, the group expects to see an “accelerated performance” in the 4QFY2024 and in the 2HFY2024 with an upturn in the production cycle and rising prices.
Shares in Bumitama Agri closed at 84 cents on Nov 12.
