Sime Darby Plantation turns to black in Q3 2020

KUALA LUMPUR: Sime Darby Plantation Bhd has turned to black in the third quarter ended Sept 30, 2020 (Q3 2020) after recording a net profit of RM190 million against a net loss of RM243 million in Q3 2019.

Revenue surged to RM3.18 billion from RM2.82 billion previously, thanks to the higher crude palm oil (CPO) and palm kernel prices, the plantation company said in a filing with Bursa Malaysia today.

In a separate statement, group managing director Mohamad Helmy Othman Basha said despite the challenges posed by the pandemic on global markets, CPO prices continue to be supported in the second half of the year, while palm oil demand has improved and is expected to grow further in 2021.

He said as a sector that provides essential products to the world, the industry is showing resilience amid global uncertainties.

“Given these challenging times, we urge more unemployed Malaysians to seize the job opportunities available in the palm oil industry today.

“As a measure to further mitigate the industry’s current labour shortage, we also hope the government will continue with its efforts to alleviate restrictions on foreign labour, while the group continues to ramp up mechanisation and digitalisation efforts to increase productivity and reduce reliance on labour in the medium to long term,” he said.

Moving forward, Mohamad Helmy said the group’s financial performance for the financial year ending Dec 31, 2020 is expected to be better than last year. – Bernama