17th Apr 2020 18:04
(Alliance News) - Anglo-Eastern Plantations PLC on Friday reported mixed performance in the first quarter of 2020.
The palm oil and rubber producer said Malaysia and some parts of Indonesia are in lockdown, but its plantations and mills are operating close to normal.
For the first three months ended March 31, Anglo-Eastern said its own production of fresh fruit bunches was 246,600 metric tonnes, an increase of 3% compared to the same period in 2019.
Crop production in Bengkulu estates recovered as rainfall normalised, the company highlighted.
Fresh fruit bunches bought-in was, however, lower at 183,200 metric tonnes, a decrease of 7% year-on-year.
The crude palm oil produced in the quarter was 88,600 metric tonnes, marginally higher than 88,100 metric tonnes produced a year prior.
The crude palm oil price averaged UDS731 per metric tonne for the first three months to March 31. This represents an increase of 36% from the average price of USD538 per metric tonne recorded in the first quarter of 2019 but was below USD878 per metric tonne at the start of the year.
Anglo-Eastern noted that the price has trended downwards and closed at USD542 per metric tonne on Wednesday.
"Palm oil prices remain volatile as demand is affected by the economic lockdown among the importing countries as they battled with the Covid-19 pandemic. There is also concern over the palm biodiesel program in Indonesia as it loses its appeal in view of the subdued crude oil prices," the company explained in its statement Friday.
Looking ahead ,the company said its balance sheet remains strong. Anglo-Eastern's long term development loans totalled USD5.5 million as at the end of March. The company said it has net cash of USD77.3 million as at March 31.
Anglo-Eastern shares closed untraded in London on Friday, last quoted at 457.00 pence each.
By Evelina Grecenko; [email protected]
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