|Bid||0.6600 x 0|
|Ask||0.6650 x 0|
|Day's range||0.6600 - 0.6650|
|52-week range||0.5900 - 0.7300|
|Beta (3Y monthly)||0.84|
|PE ratio (TTM)||13.20|
|Earnings date||13 Aug 2018 - 20 Aug 2018|
|Forward dividend & yield||0.03 (4.14%)|
|1y target est||0.84|
SINGAPORE (Feb 26): Palm oil producer Bumitama Agri reported 4Q18 and FY18 financial performance were impacted by the weakening of the agriculture commodity prices, especially in the latest quarter.However, the increase in sales volume was more than sufficient to offset the drop in selling prices in the 4Q18 and for FY18. Foreign exchange loss and loss on fair value changes in biological assets in FY18 also contributed to the decline of the group’s earnings by 9.0% to IDR 1.295 trillion ($125 million).Revenue increased by 7.0% to IDR 2,205 billion in 4Q18 and 3.1% to IDR 8,381 billion in FY18 compared to the previous corresponding periods. This was mainly attributable to an increase in sales volume of Crude Palm Oil (CPO) and Palm Kernel (PK) arising from improved palm production compared to previous corresponding periods.Increase in the group’s cost of sales, especially during 4Q18, was mainly attributable to the increase in manuring cost compared to previous corresponding period due to higher fertiliser application in 4Q18.Interest income amounting to IDR 45 billion in 4Q18 and IDR 165 billion in FY18 mainly consisted of interest income earned from advances extended to the plasma farmers.The group also recorded decrease in fair value changes in biological assets amounted to IDR 48 billion based on market value of agricultural produce as at Dec 31 2018.The group has declared a tax exempted (1-tier) final dividend of 2 cents cash.In its outlook, Bumitama Agri says CPO price increased in January 2019, and is expected to maintain in the near future. This higher price will mitigate the lower seasonal fresh fruit bunches production in first quarter FY2019.Shares in Bumitama Agri closed 1.5 cents lower at 67 cents.
Earnings season is a good opportunity for investors to digest new financial information and sync up with the expectations of management teams. However, with so many companies reporting at once, it is easy to miss good results in all the noise.
This analysis is intended to introduce important early concepts to people who are starting to invest and want to better understand how you can grow your money by investing inRead More...
Dividends play a key role in compounding returns over time and can form a large part of our portfolio return. Over the past 5 years, Bumitama Agri Ltd (SGX:P8Z) hasRead More...