Anglo-Eastern Plantations plc Announces Production Results for the First Nine Months Ended September 30, 2018; Provides Earnings Guidance for the Year Ending December 31, 2018
November 01, 2018 at 05:03 am EDT
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Anglo-Eastern Plantations Plc announced production results for the first nine months ended September 30, 2018. For the first nine months, the company's own production of fresh fruit bunches ("FFB") was 787,160mt, an increase of 14% compared to the same period in 2017, which is 690,520mt. FFB bought-in was 760,460mt, which represents an increase of 2% in comparison with the same period in 2017, which is 749,050mt. Total Crude Palm Oil ("CPO") produced was 316,920mt, 9% higher than the corresponding period in 2017, which is 290,840mt due to both higher FFB production and external FFB purchase. The group's new planting for the nine months ended 30 September 2018 totaled 1,156 hectares, of which replanting made up 394 hectares. The Group continues to face resistance and difficulty in concluding land compensation settlement with villagers in Bengkulu and Bangka due to unreasonably high land price expectations.
The higher CPO production to date will not compensate for the drop in CPO price which is expected to lead to a lower revenue and profitability for the year ending 31 December 2018, as experienced by plantation companies across the industry.
Anglo-Eastern Plantations Plc is a United Kingdom-based producer of palm oil and rubber with plantations across Indonesia and Malaysia. The Company operates a planted area of approximately 75,239 hectares (ha). The Company operates approximately six palm oil mills in Indonesia. The Company has its assets based on geographical location, including North Sumatera, Bengkulu, Riau, Bangka, Kalimantan, Plasma and Malaysia. Its fresh fruit bunches (FFB) production in North Sumatera, which aggregates the estates of Tasik, Anak Tasik, Labuhan Bilik (HPP), Blankahan, Rambung, Sg Musam and Cahaya Pelita (CPA) produced 423,900 metric ton (mt). Its FFB production in Bengkulu, which aggregates the estates of Puding Mas (MPM) and Alno produced 269,500 mt. Its FFB production in the Riau region, comprising Bina Pitri estates, produced 135,000 mt. Its FFB production in the Bangka region, comprising Bangka Malindo Lestari estates, produced 12,900 mt. Its FFB production in Malaysia is 9,300 mt.
Anglo-Eastern Plantations plc Announces Production Results for the First Nine Months Ended September 30, 2018; Provides Earnings Guidance for the Year Ending December 31, 2018