Sipef NV logo

SIP - Sipef NV News Story

€45.9 0.1  0.2%

Last Trade - 1:02pm

Sector
Consumer Defensives
Size
Mid Cap
Market Cap £414.4m
Enterprise Value £487.3m
Revenue £198.1m
Position in Universe 338th / 847

BRIEF-Sipef FY Operating Profit Down At 4.9 Million Dollars

Thu 13th February, 2020 7:31am
Feb 13 (Reuters) - SIPEF NV  SIFB.BR :
    * RESULTS OF THE SIPEF GROUP
    * AS PER 31 DECEMBER 2019 , RESULT BEFORE TAX WAS KUSD 852,
COMPARED WITH KUSD 39 598 IN 2018, CHIEFLY DUE TO LOW MARKET
PRICES FOR PALM OIL
    * DUE TO A GENERAL DECLINE IN PALM CROPS IN INDONESIA AND
THE
EFFECT OF THREE VOLCANIC ERUPTIONS IN PAPUA NEW GUINEA, 2019
ANNUAL PALM OIL PRODUCTION OF THE SIPEF GROUP FELL BY 11.2%
COMPARED WITH THE PREVIOUS YEAR
    * OIL PALM PLANTATIONS IN PAPUA NEW GUINEA GRADUALLY
RECOVERED
FROM THREE VOLCANIC ERUPTIONS OF MOUNT ULAWUN EARLIER IN 2019,
BUT PALM OIL PRODUCTION AT OWN PLANTATIONS FELL BY 38.1%
COMPARED WITH FOURTH QUARTER OF 2018
    * FY REVENUE $248.3 MILLION VERSUS $ 275.3 MILLION YEAR AGO
    * FY OPERATING PROFIT $4.9 MILLION VERSUS $ 42.7 MILLION
YEAR AGO
    * FOR 2019 TOTAL GROSS MARGIN PER PRODUCT $37.2 MLN (NOT FOR
2020
CORE OPERATING MARGIN AROUND 30.0% OF NET SALES)
    * THE BOARD OF DIRECTORS PROPOSES NOT PAYING OUT A DIVIDEND
FOR
THE FINANCIAL YEAR 2019 IN ORDER TO KEEP THE GROUP’S DEBT
POSITION UNDER CONTROL AND ENSURE THE GROWTH POTENTIAL IS NOT
THREATENED
    * THERE IS A PROSPECT FOR IMPROVING RESULTS IN 2020
    * DECISION WAS MADE TO LIMIT THE USUAL REPLACEMENT
INVESTMENTS IN
THE NEW FINANCIAL YEAR 2020 WHERE POSSIBLE
    * SIPEF HAS NOW SOLD 36% OF THE EXPECTED PALM OIL PRODUCTION
FOR
2020 ON A MARKET THAT HAS RISEN SHARPLY OVER THE PAST FOUR
MONTHS
    * MARKETS IN 2020: THERE WILL BE NO GROWTH IN PRODUCTION OF
PALM
OIL AROUND THE GLOBE; MALAYSIA IS EXPECTED TO SEE A REDUCTION OF
0.5 TO 1 MILLION TONNES, AND INDONESIA LIMITED GROWTH AT BEST
    * SEES NO REASON TO ADJUST THE OUTLOOK FOR THE WHOLE
PRODUCTION
YEAR OF 2020

Source text : https://bit.ly/2OSSWpk
Further company coverage:  SIFB.BR 

 (Gdansk Newsroom)
 ((gdansk.newsroom@thomsonreuters.com; +48 58 7785110;))
© Stockopedia 2021, Refinitiv, Share Data Services.
This site cannot substitute for professional investment advice or independent factual verification. To use it, you must accept our Terms of Use, Privacy and Disclaimer policies.