Olam Group profit plunges 83.4% in H2 2024

For the full year, it declined 69% YoY.

Olam Group reported an 83.4% year-on-year (YoY) decline in profit after tax and minority interest (PATMI) to $38.3m in the second half of 2024.

Despite the drop in PATMI, the group's revenue rose 24.0% YoY to $29.2b.

For the full year, PATMI fell 69% YoY to $86.4m, whilst revenue grew 16.3% to $56.2b.

The board has proposed a final dividend of $.03 per share, bringing the total dividend for 2024 to $.06 cents, down from $.07 in 2023.

As part of its restructuring, Olam will sell a 44.58% stake in Olam Agri to Saudi Agricultural and Livestock Investment Company (SALIC) for US$1.78b, valuing Olam Agri at US$4.00b. It also plans to divest its remaining 19.99% stake to SALIC after three years at the closing valuation plus a 6% internal rate of return (IRR).

The group said it will focus on unlocking value in its remaining businesses, including an IPO for Olam Food Ingredients (ofi).