United Plantations Net Profit Rises To RM290.92 Mln In 3Q, Declares 30 Sen Interim Dividend
KUALA LUMPUR, Nov 11 (Bernama) -- United Plantations Bhd’s net profit rose to RM290.92 million in the third quarter ended Sept 30, 2026 (3Q) from RM203.27 million in the same quarter a year ago.
The higher net profit in 3Q reflected the strong operational performance of its plantation segment, driven by higher production volumes and improved crude palm oil (CPO) selling prices, and stronger contribution from the refinery segment, it said in a filing with Bursa Malaysia today.
Revenue also increased to RM722.22 million during the quarter from RM677.07 million previously, supported by higher revenue contributions from both the plantation and refinery segments.
“The plantation segment continued to demonstrate strong operational performance in 3Q while revenue rose by 28 per cent compared with the preceding quarter.
“This was primarily driven by substantially higher production volumes of CPO and palm kernel (PK), which increased by 25 per cent and 29.6 per cent, respectively, together with a 6.2 per cent improvement in the average selling price of CPO. The average selling price of PK declined marginally by 2.6 per cent,” it said.
For the nine-month period ended Sept 30, 2026, net profit went up to RM645.58 million from RM615.91 million in the corresponding period last year, while revenue rose to RM2 billion from RM1.83 billion previously.
On prospects, it said during 3Q 2026, palm oil prices traded in a relatively firm range from a low of RM4,460 per tonne to a high of RM5,049 per tonne for the third month position.
“Despite increasing palm oil production and rising inventories in Malaysia, prices remained resilient, supported by expectations of higher biodiesel demand, particularly in Indonesia and the United States. Growing concerns over the impact of the prevailing El Niño weather phenomenon, said to be the worst drought in 70 years, would have an adverse impact on future palm oil production,” it said.
Looking ahead, United Plantations said one of the key factors influencing palm oil prices will be the development of Malaysian palm oil inventories, which could approach historically high levels of around four million tonnes towards year-end.
“Under normal circumstances, such elevated stocks would exert considerable downward pressure on prices.
“However, the market appears increasingly focused on the potential tightening of supply during 2027, again a function of higher biodiesel production and a lower production in Indonesia arising from the monster El Nino this July to October,” it added.
United Plantations has declared an interim dividend of 30 sen per share and a special dividend of 15 sen per share for the financial year ending Dec 31, 2026, payable on Dec 8, 2026.
-- BERNAMA