REG-R.E.A. Holdings plc R.E.A. Holdings plc: Half yearly results

R E A HoldingsAnnouncement

Yesterday 07:02

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   R.E.A. Holdings plc (RE.)
   R.E.A. Holdings plc: Half yearly results

   17-Sep-2025 / 07:00 GMT/BST

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   R.E.A. Holdings plc (“REA” or the “company”)

    

   REA today publishes the group’s half yearly report for the six months to
   30 June 2025. Please click on the link below to view.

    

   The 2025 half yearly report will also be available shortly
   at  1 www.rea.co.uk/investors/financial-reports.

    

   HIGHLIGHTS

    

   Strategic

    

     • Maturity profile of group debt improved
     • Sale of outlying subsidiary CDM completed in June 2025

    

   Financial

    

     • Revenue increased by 14 per cent to $92.4 million (2024: $80.9
       million) benefitting from continuing firm prices for both CPO and CPKO
     • Average selling prices (including premia for certified oil but net of
       export duty and levy) for CPO some 13 per cent above 2024 at $856 per
       tonne (2024: $755 per tonne) and for CPKO some 96 per cent above 2024
       at $1,657 per tonne (2024: $847 per tonne)
     • EBITDA for the period of $33.4 million (2024: $21.6 million), a 55 per
       cent increase
     • Profit before tax of $11.6 million (2024: $8.1 million) before $5.7
       million loss on disposal of CDM notwithstanding $8.9 million adverse
       swing in exchange movements
     • Group net indebtedness at $159.1 million (31 December 2024: $159.3
       million) after temporary increase in working capital of $15.0 million
     • Indonesian bank loans repackaged in March 2025
     • £21.4 million nominal of sterling notes redeemed at 104 per cent on 31
       August 2025
     • In September 2025, repayment date of at least $17.6 million nominal of
       dollar notes postponed to 31 December 2028

    

   Agricultural operations

    

     • FFB production for the continuing group (excluding CDM) of 425,061
       tonnes (2024: 399,907 tonnes) despite reduced hectarage due to the
       replanting programme and exceptionally heavy rainfall in the early
       months
     • Extraction rates maintained above 22 per cent
     • Replanting and extension planting on target

    

   Stone and sand operations

    

     • Production and sales of ATP stone now accelerating
     • ATP sale contracts signed with three substantial purchasers of stone
     • Sand washing plant being enhanced with scale production projected in
       2026
     • Both ATP and MCU now under direct control of the group

    

   Sustainability and climate

    

     • 100 per cent of the group’s own plantations are now RSPO certified
     • Projects to promote sustainable development and climate action,
       including smallholders, continuing apace

    

   Outlook

    

     • Firm CPO prices projected for the immediate future
     • Group FFB production expected to increase from 2026 as immature areas
       start to substitute for mature areas taken out of production for
       replanting with additional FFB expected from Enggang areas now managed
       by the group
     • Cash flows to progressively reap the benefits of capital investments
       in replanting, new planting and scaling up of the stone and sand
       operations
     • Group’s financial position continuing to strengthen with an
       increasingly encouraging outlook

    

    

   CONSOLIDATED INCOME STATEMENT

   FOR THE SIX MONTHS ENDED 30 JUNE 2025

    

                                                 30 June  30 June 31 December
                                                    2025     2024        2024
                                                   $’000    $’000       $’000
   Revenue                                        92,410   80,945     187,943
   Net gain / (loss) arising from changes in         478    (169)           9
   fair value of biological assets
   Cost of sales                                (63,012) (63,580)   (136,495)
   Gross profit                                   29,876   17,196      51,457
   Distribution costs                              (507)    (576)     (1,281)
   Administrative expenses                      (10,151)  (7,993)    (15,208)
   Operating profit                               19,218    8,627      34,968
   Interest income                                   701    1,167       3,369
   Reversal of provision                               –        –       6,622
   (Losses) / gains on disposal of subsidiaries  (5,723)        –       3,051
   and similar charges
   Other (losses) / gains                        (2,428)    6,499       7,317
   Finance costs                                 (5,911)  (8,233)    (16,430)
   Profit before tax                               5,857    8,060      38,897
   Tax                                           (8,444)  (4,520)     (8,434)
   (Loss) / profit for the period                (2,587)    3,540      30,463
                                                                             
   Attributable to:                                                          
   Equity shareholders                           (2,425)    1,530      26,447
   Non-controlling interests                       (162)    2,010       4,016
                                                 (2,587)    3,540      30,463
                                                                             
   (Loss) / profit per 25p ordinary share (US                                
   cents)
   Basic                                          (15.6)    (5.9)        41.6
   Diluted                                        (15.6)    (5.9)        41.6

    

   All operations in all periods are continuing.

    

    

   CONSOLIDATED BALANCE SHEET

   AS AT 30 JUNE 2025

    

                                   30 June   30 June 31 December
                                      2025      2024        2024
                                     $’000     $’000       $’000
   Non-current assets                                           
   Goodwill                         11,144    11,144      11,144
   Intangible assets                 2,331     1,401       2,684
   Property, plant and equipment   372,280   310,198     386,997
   Land                             54,295    51,166      58,098
   Financial assets                 24,902    77,578      26,735
   Deferred tax assets              16,364    14,126      21,278
   Total non-current assets        481,316   465,613     506,936
   Current assets                                               
   Inventories                      25,403    20,956      18,393
   Biological assets                 3,816     3,160       3,338
   Trade and other receivables      39,996    34,885      31,312
   Current tax asset                 1,243     1,058         228
   Cash and cash equivalents        55,208    15,942      38,837
   Total current assets            125,666    76,001      92,108
   Total assets                    606,982   541,614     599,044
   Current liabilities                                          
   Trade and other payables       (33,552)  (30,032)    (44,715)
   Bank loans                     (24,068)  (23,145)    (20,012)
   Sterling notes                 (30,429)         –    (28,167)
   Dollar notes                   (26,829)         –           –
   Other loans and payables        (8,649)   (6,928)     (2,707)
   Total current liabilities     (123,527)  (60,105)    (95,601)
   Non-current liabilities                                      
   Trade and other payables              –   (4,252)           –
   Bank loans                    (132,944)  (81,330)   (114,417)
   Sterling notes                        –  (40,316)           –
   Dollar notes                          –  (26,658)    (26,746)
   Deferred tax liabilities       (50,923)  (34,654)    (47,404)
   Other loans and payables       (11,129)  (21,373)    (19,897)
   Total non-current liabilities (194,996) (208,583)   (208,464)
   Total liabilities             (318,523) (268,688)   (304,065)
   Net assets                      288,459   272,926     294,979
                                                                
   Equity                                                       
   Share capital                   133,590   133,590     133,590
   Share premium account            47,374    47,374      47,374
   Translation reserve            (25,824)  (24,416)    (26,332)
   Retained earnings                62,960    47,836      69,826
                                   218,100   204,384     224,458
   Non-controlling interests        70,359    68,542      70,521
   Total equity                    288,459   272,926     294,979

    

    

   CONSOLIDATED CASH FLOW STATEMENT

   FOR THE SIX MONTHS ENDED 30 JUNE 2025

    

                                                 30 June  30 June 31 December
                                                    2025     2024        2024
                                                   $’000    $’000       $’000
   Net cash from / (used in) operating             5,770  (4,712)      31,751
   activities
                                                                             
   Investing activities                                                      
   Interest received                                 701    1,167       1,069
   Proceeds on disposal of PPE                         –       13       4,179
   Purchases of intangible assets and PPE       (16,040)  (9,773)    (34,621)
   Expenditure on land                             (664)    (684)     (4,530)
   Net investment stone and coal interests             –  (4,227)     (3,610)
   Net investment sand interest                  (3,070)        –     (4,413)
   Cash received from non-current receivables          –    1,298       1,258
   Cash acquired with new subsidiary                   –        –         259
   Cash divested on disposal of group company      (372)        –           –
   Cash reclassified from asset held for sale          –        9           9
   Net proceeds on disposal of group company       8,365        –           –
   Net cash used in investing activities        (11,080) (12,197)    (40,400)
                                                                             
   Financing activities                                                      
   Preference dividends paid                     (4,414) (14,510)    (18,576)
   Repayment of bank borrowings                  (9,804)  (7,540)    (36,862)
   New bank borrowings drawn                      47,570    6,494      64,342
   Purchase of sterling notes for cancellation     (381)        –    (11,606)
   Repayment of borrowings from non-controlling  (8,750) (11,747)    (12,234)
   shareholder
   New equity from non-controlling interests           –   50,000      53,580
   Cost of non-controlling interest transaction        –  (1,078)     (1,078)
   Purchase of non-controlling interest                –  (2,726)     (2,726)
   Repayment of lease liabilities                (1,500)  (1,271)     (2,724)
   Net cash from financing activities             22,721   17,622      32,116
                                                                             
   Cash and cash equivalents                                                 
   Net increase in cash and cash equivalents      17,411      713      23,467
   Cash and cash equivalents at beginning of      38,837   14,195      14,195
   period
   Effect of exchange rate changes               (1,040)    1,034       1,175
   Cash and cash equivalents at end of period     55,208   15,942      38,837

    

    

    

    

   Enquiries:

   R.E.A Holdings plc

   Tel: +44 (0)20 7436 7877

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   Attachment

   File:  2 REA Half yearly report 2025

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   Dissemination of a Regulatory Announcement that contains inside
   information in accordance with the Market Abuse Regulation (MAR),
   transmitted by EQS Group.
   The issuer is solely responsible for the content of this announcement.

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   ISIN:          GB0002349065
   Category Code: IR
   TIDM:          RE.
   LEI Code:      213800YXL94R94RYG150
   Sequence No.:  401996
   EQS News ID:   2198392


    
   End of Announcement EQS News Service

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