Disciplined upstream practices and expanded sourcing drive robust half-year performance

JOHOR BAHRU, Aug 15 (Bernama) -- Johor Plantations Group Berhad (JPG) recorded a 51% year-on-year (YoY) increase in profit after tax (PAT) for the first half of 2025 (1H2025), reaching RM150.64 million. Revenue in 1H2025 saw a 12.6% increase to RM738.72 million, from same period last year (1H2024). While production volumes were lower YoY, the Group’s performance was supported by higher selling prices for both crude palm oil (CPO) and palm kernel (PK), alongside stronger outside crop purchase (OCP) that helped sustain throughput and strengthen profitability.

Following from this strong performance, the Board has declared a second interim dividend of 1.25 sen per share for the quarter, reflecting an EPS of 3.01 sen, rewarding its shareholders with a total dividend payout of RM31.25 million.

For 2Q2025, the Group posted revenue of RM398.29 million, up 10.4% from RM360.91 million in corresponding quarter last year (2Q2024). PAT increased by 50% to RM75.37 million, compared to RM50.26 million in 2Q2024.

· CPO Sales: Revenue from CPO increased 4.8% YoY in 2Q2025 to RM323.39 million, with delivery volumes up 1.9% to 74,667 MT.
· PK Sales: PK revenue surged 46.1% YoY to RM73.07 million, supported by a 2.1% rise in delivery volumes to 19,546 MT.
· OCP: JPG saw an 11.9% increase YoY in external crop purchases, reflecting the effectiveness of its strategy to boost OCP.

Commenting on the results, Mohd Faris Adli Shukery, Managing Director of Johor Plantations Group said: “We are pleased to report another strong performance, driven by disciplined efforts across our upstream segment and continued progress in expanding external crop sourcing.

At the same time, we continue to enhance operational efficiency, optimise our inventory, and manage costs proactively, all guided by our steadfast commitment to sustainability, which remains at the heart of our long-term value creation.

Looking ahead, while we remain mindful of potential demand-supply imbalances in the CPO market, we are confident in our ability to navigate these conditions. Our focus remains on optimising price realisation, sustaining production growth, exercising rigorous cost control, increasing processing volume and advancing our downstream expansion.”

As the Group moves into the second half of the year, JPG expects seasonal production growth and remains prudently optimistic in navigating market dynamics. With this, the Group is well-positioned to sustain its growth trajectory and deliver long-term shareholder value.

In addition, JPG announced a key leadership transition with the upcoming retirement of its Chief Financial Officer (CFO), Aziah Ahmad, as of 1 September 2025. Aziah has been a vital member of the Kulim (Malaysia) Berhad and Johor Corporation (JCorp) group since 2014, holding senior finance leadership roles. She played a pivotal role in strengthening JPG’s financial operations ahead of its IPO and in delivering the plantation industry’s first Sustainability-Linked Sukuk in 2024.

Zain Azrai Zainal Abidin will succeed her as CFO as of 1 September 2025. A Certified Public Accountant with over 27 years of experience, including more than a decade as CFO in several leading companies, Zain brings deep expertise in finance, strategy, treasury, investment management, stakeholder engagement, and audit. He joined the company in June as the Deputy CFO and has been working together with Aziah to ensure a seamless leadership transition.

About Johor Plantations Group Berhad
 
Established in 1978, Johor Plantations Group Berhad (JPG) is a subsidiary of Kulim (Malaysia) Berhad, which is a wholly owned subsidiary of Johor Corporation (JCorp). JPG is principally involved in the cultivation of oil palm and the production of crude palm oil (CPO) and palm kernels. Its core operations focus on owning, managing, and harvesting fresh fruit bunches (FFB) from estates located primarily in the state of Johor. JPG’s subsidiaries support its upstream activities through the production of biomethane, sales of oil palm seedlings, trading of palm oil products, and the supply of agricultural machinery, plantation-related products, training, and safety services.JPG was listed on the Main Market of Bursa Malaysia Securities Berhad on 9 July 2024. All of JPG’s plantations are 100% certified under the Roundtable on Sustainable Palm Oil (RSPO) and the Malaysian Sustainable Palm Oil (MSPO) standards. The company is also developing Integrated Sustainable Palm Oil Complex (iSPOC), a centralised processing and logistics hub to improve operational efficiency, traceability, and future downstream readiness. JPG has outlined a ten-year strategic roadmap focused on optimising upstream performance, expanding third-party crop sourcing, and supporting long-term sustainable growth.
 
For more information, please visit www.johorplantations.com
 
SOURCE: Johor Plantations Group Berhad

FOR MORE INFORMATION & RSVP, PLEASE CONTACT:
Johor Plantations Group Berhad
Name: Dalilah Ibrahim
Head, Corporate Communications
Tel: 012-328 1727
Email: dalilah@johorplantations.com  

--BERNAMA