KUCHING: BLD Plantation Bhd (BLD Plantation) has recorded a profit before tax of RM28.365 million for the cumulative period ended Sept 30, 2014, compared to the profit before tax of RM37.582 million reported for the corresponding financial period of preceding year.
In a statement to Bursa Malaysia, BLD Plantation noted that the revenue recorded at RM1.13 billion for the current financial period as compared to RM1.19 billion for the corresponding financial period of preceding year. For BLD Plantation’s refinery and kernel crushing plant, the current quarter’s revenue and profit before tax were lower by about RM115 million and RM16 million respectively as compared to the corresponding quarter of the preceding year.
“This was mainly due to lower sales volume during the current quarter.
“The lower revenue and profit before tax by about RM70 million and RM22 million during the current financial period than the preceding year were mainly due to lower average selling price of products,” the group said.
Regarding the group’s milling and plantation segment, revenue was lower by about RM4.5 million as compared to the corresponding period of the preceding year.
“This was mainly due to lower average selling price of products. However, the profit before tax recorded a marginal increase of about RM0.7 million as compared to the corresponding period of the preceding year due to higher sales volume of products,” it said.
Owing to higher sales volume, BLD Plantation explained that the segment’s revenue and profit before tax were increased by about RM53.7 million and RM13.3 million respectively, as compared to the corresponding preceding financial period.
Overall, the financial performance of the group is dependent on the physical supply and demand of palm oil products in the world edible oil market and their corresponding prices.
The group is cautious that some changes in policy might cause supply constraints in long term to the local industry as a whole while leading to positive economic implications on palm oil prices.
“Notwithstanding, the group is mindful of various influencing factors and will continue to be vigilant and prudent in expenditure and productivity,” BLD Plantation affirmed.