Indofood Agri profits up 232.2% to $632.7m for Q2

Thanks to fruit bunch production rising by 11%.

Indofood Agri Resources (IFAR) ended the Q2 with an abundant harvest after reporting a 232.2% (232.0%) jump in profits from $632.7m to $2.1b this year.

According to DBS Equity Research, IFAR posted a revenue increase of 15.4% YoY to $86.6t. The revenue trend reflected high production of its oil-related products.

IFAR's increasing yield and maturing trees in over 14,200 ha of land accelerated production of nucleus Fresh Fruits Bunches (FFB) by 11% YoY to 689,000 tons.

DBS Analyst William Simadiputra said, however, lower CPO and palm kernel oil (PKO) prices still dragged the company earnings. Whilst CPO price did not change, PKO price fell by 13% YoY.