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10 Quick Things That Investors Should Know About Bumitama Agri Ltd’s Latest Results

Last week, Bumitama Agri Ltd  (SGX: P8Z) released its second quarter earnings update for the year ending 31 December 2018. As a quick introduction, Bumitama Agri is a palm oil producer. The company has over 180,000 hectares of plantation land located in three provinces in Indonesia, namely, Central Kalimantan, West Kalimantan, and Riau.

Here are 10 things investors should know about Bumitama Agri’s latest results:

1. Revenue for the reporting quarter grew 22.4% year-on-year to IDR 2, 349 billion.

2. Gross profit for the quarter surged by 35.6% year-on-year to IDR 762 billion.

3. EBITDA (earnings before interest, taxes, depreciation and amortisation) for the reporting quarter jumped by 32.5% year-on-year to IDR 803 billion.

4. Profit attributable to shareholders improved by 36.1% year-on-year to IDR 388 billion.

5. The gross margin for the reporting quarter increased to 32.4% from 29.3% in the corresponding period last year. Similarly, the EBITDA margin improved from 31.5% to 34.2% over the same period.

6. Bumitama Agri generated operating cash flow of IDR 387 billion in the latest quarter, down compared to IDR 537 billion in 2017’s second-quarter.

7. As of 30 June 2018, Bumitama Agri’s total borrowings stood at IDR 5, 214 billion, up from IDR 4,749 billion at end-2017. Meanwhile, its cash and cash equivalents improved from IDR 217 billion to IDR 333 billion.

8. In the quarter, Bumitama’s fresh fruit bunches (FFB) production grew by 31.6% year-on-year to 1, 267, 989 tonnes.

9. The company’s sales volumes also improved during the reporting quarter. Volume for crude palm oil (CPO) was up 28.1% year-on-year to 266,802 tonnes while the volume for palm kernel increased by 31.2% to 49,706 tonnes.

10. The average sales price of the company’s products fell during the quarter. The price for CPO declined by 3.4% to IDR 7, 786 per kg while that for palm kernel dropped by 1.3% to IDR 5, 482 per kg.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Lawrence Nga doesn’t own shares in any companies mentioned.