KUALA LUMPUR, March 23 — TH Plantations Bhd (THP) returned to the black with a net profit of RM13.99 million for the financial year ended December 31, 2020 (FY20) compared with a net loss of RM226.50 million a year ago.
In a filing with Bursa Malaysia today, it said the group revenue rose 12.45 per cent to RM555.10 million from RM493.65 million previously.
The increase was mainly due to higher sales volume and average realised prices for crude palm oil, palm kernel and fresh fruit bunches.
For the fourth quarter of FY20, THP posted a net profit of RM1.59 million on a revenue of RM144.55 million compared with a net loss of RM167.65 million on a revenue of RM136.25 million in FY19.
The company also continued to perform better operationally by recording a higher operating profit of 276.60 per cent as compared with FY19.
The improvement was attributed to higher revenue, higher fair value change in forestry, lower cost of sales, lower impairment, and gains on disposal of subsidiary.
“The group’s strategic recovery plan remained in progress which will enable the group to be in a better financial position once completed.
“THP also expects the current market price for palm oil products to remain favourable throughout the next quarter due to low production, labour shortages, as well as low inventory levels of palm oil in Malaysia,” it added. — Bernama