FGV records net profit of RM38.77 million in third-quarter 2017

FGVFelda Global Ventures Holdings Bhd (FGV) has recorded a net profit of RM38.77 million in the third quarter (Q3) ended September 30, 2017 from a net loss of RM73.61 million recorded in the same quarter a year ago.

The company said the recorded net profit for the quarter was contributed mainly by strong performance from sugar, and logistics and others (LO) sectors.

Its revenue in Q3 slipped marginally by one % to RM4.15 billion from RM4.19 billion.

For the nine-month period, FGV recorded a net profit of RM67.15 million from a net loss of RM80.99 million, due to strong performance from the plantation and LO sectors.

Its revenue in the same period increased five % to RM12.69 billion from RM12.09 billion.

Group president and chief executive officer Datuk Zakaria Arshad said for the nine-month period, the plantation sector’s performance posted a marked improvement by achieving a RM255 million profit against a loss of RM30 million in the same period last year.

“In our continuous effort to maximise yield, we have strengthened the estates operations through labour optimization towards harvesting activities, extended working hours and aggressive foreign labour recruitment.

“The outlook is further supported by the transition of our younger palms into productive stage,” he said.

Zakaria said based on the significant improvement of the Group’s fresh fruit bunch production for October, FGV expects to perform better at the close of the financial year 2017 compared to 2016.

“To further strengthen our core business, we have appointed professional subject matter experts to strengthen the composition of the FGV Board and senior management.

“These subject matter experts have the right experience and expertise to help move FGV forward and generate sustainable returns for our shareholders and stakeholders,” he said.

FGV declared an interim dividend payment of five sen per share on 3.65 billion ordinary shares under a single-tier system for Q3 amounting to RM182.41 million.

The dividend will be paid by December 28.