REG - M. P. Evans Group - Strong pricing during second half of 2025

M P EvansAnnouncement

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RNS Number : 7600G  M. P. Evans Group PLC  10 November 2025

 

M.P. EVANS GROUP PLC

("Company", "Group" or "M.P. Evans")

 

STRONG PRICING DURING SECOND HALF OF 2025

 

The board of M.P. Evans Group PLC, a producer of sustainable Indonesian palm
oil, is pleased to report the continuing strength in the price of both crude
palm oil ("CPO") and palm kernels ("PK") which will have a beneficial impact
on the Group's results for 2025.

 

In the 2025 interim results announcement on 15 September 2025, the Group
reported that the total crop harvested during the first half of the year from
the areas managed by it (including own hectarage plus that managed on behalf
of associated scheme smallholders) was 619,100 tonnes, up by 9% from the
previous year. Within the interim report, the Group also reported on crop to
the end of August 2025, with the harvested amount up by 8% on the previous
year. This increase has persisted through to the end of October with the
equivalent figure for the ten-month year-to-date increase remaining at 8%.

 

Consistent with the approach taken earlier in the year, management has been
restricting the purchase of crop from independent suppliers to deliberately
change the mix of inputs to Group mills for the benefit of sustainability and
margin. At the end of June, the year-on-year decrease in crop purchases was
39% and, by the end of October, this figure was very similar, at 40%.

 

Of more significance to the Group's results, the strong pricing environment
for CPO and PK observed in the first half of the year has persisted through to
the end of October and is continuing as the Group sells its output for
November. The Group had reported an average ex-mill-gate price of US$868 per
tonne for its CPO in the first half of 2025 and, by the end of October this
had been maintained at US$869 per tonne. Similarly, the Group reported an
average ex-mill-gate price of US$747 per tonne for its PK in the first half of
2025 and, by the end of October this had increased to US$756 per tonne. The
Group is already tendering for sales in November with average pricing
remaining similar at approximately US$850 per tonne of CPO and US$780 per
tonne of PK.

 

This robust pricing environment, combined with a continued focus on cost
control, means the board expects Group revenue to be higher than previously
envisaged, with enhanced anticipated profitability. Cash generation has also
remained strong thus far in the second half of the year and, as a result, the
Group has taken the opportunity to repay all outstanding loans, the total of
which was US$20.9 million at 30 June 2025.

 

The Group will provide a further update for the whole of 2025 in its crop,
production and pricing announcement due to be released in January 2026.

 

 

This announcement contains information for the purposes of Article 7 of the
Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by
virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed
in accordance with the Company's obligations under Article 17 of MAR.

 

 

Enquiries:

 

 M.P. Evans Group PLC                           Telephone: +44 (0) 1892 516333
 Peter Hadsley-Chaplin, chairman
 Matthew Coulson, chief executive
 Luke Shaw, chief financial officer

 Cavendish Capital Markets (Nomad and broker)   Telephone: +44 (0) 20 7220 0500
 Matt Goode, George Lawson (Corporate finance)
 Tim Redfern, Harriet Ward (ECM)

 Hudson Sandler (Financial PR)                  Telephone: +44 (0) 20 7796 4133
 Charlie Jack, Nick Moore, Francesca Rosser

 

 

 

 

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