KUALA LUMPUR (Nov 11): United Plantations Bhd (KL:UTDPLT) logged a record high third-quarter net profit, underpinned by strong production volumes and firm palm oil prices.
Net profit for the three months ended Sept 30, 2026 (3QFY2026) surged 43.1% to RM290.93 million from RM203.28 million in the same quarter a year ago, according to the oil palm planter’s bourse filing on Wednesday.
Revenue for the quarter also stood at a high of RM722.22 million, up 6.7% from RM677.08 million a year earlier.
Earnings per share rose to 46.76 sen compared with 32.67 sen.
The group declared a special dividend of 15 sen and an interim dividend of 30 sen per share, both to be paid on Dec 8.
For the nine months ended Sept 30, 2026, net profit rose 4.8% to RM645.58 million from RM615.92 million in the same period a year ago, while revenue increased 9.4% to RM2 billion from RM1.83 billion.
United Plantations' upstream plantation operations were helped by higher production volumes outweighing slightly softer CPO prices, but downstream, its refineries' earnings were weighed down by timing differences between raw material hedging transactions.
“The hedging losses recognised upon closing earlier raw material hedge positions are expected to be offset upon delivery of the corresponding finished goods in subsequent quarters,” it noted.
Looking ahead, palm oil prices are expected to remain supported going into the final quarter of the year, United Plantations said, as tightening global vegetable oil supply and expanding biodiesel demand are expected to partly offset the drag from elevated stock levels.
“Management remains very focused on operational excellence and continues to drive productivity improvements through mechanisation as well as the replanting of older, less productive areas with our latest high-yielding planting materials.
“Maintaining high yields is viewed as the most essential aspect within our operations that will enable the company to safeguard its competitiveness amid rising labour, energy and input costs,” it added.
Shares of United Plantations ended 16 sen or 0.53% lower at RM30.24, valuing the group at RM18.88 billion.