12th May 2025 12:03
(Alliance News) - Dekel Agri-Vision PLC on Monday said sales and production decreased but prices were "significantly higher" last month.
Shares in Dekel were trading 14% higher at 1.23 pence each at around midday on Monday.
The West Africa-focused agricultural company said that at its Ayenouan palm oil project in the Ivory Coast, crude palm oil production declined 2.8% on-year to 4,375 tonnes in April, while the CPO extraction rate was slightly lower. Palm kernel oil production, however, rose 37% to 314 tonnes.
The CPO sales volume fell 15%, but this was "primarily due to timing differences". Dekel explained: "April 2024 included atypically high sales volumes due to stock clearance activities, which is not reflective of underlying demand." PKO sales fell 27% to 193 tonnes.
The CPO sales price rose 24% to EUR964 per tonne, Dekel said, adding that palm kernel oil prices have jumped 75% to EUR1,326 to maintain "historically elevated levels".
The company said it expects sales revenue for April to be around 5% higher, "with the benefit of stronger CPO and PKO pricing more than offsetting the atypically high April 2024 sales volumes".
As for its cashew processing plant, also in the Ivory Coast, Dekel said operational improvements have continued and monthly like-for-like production key performance indicators "remain materially ahead of April 2024".
"The group reiterates guidance for a significantly improved full-year performance in 2025, including its first-ever Ebitda-positive result," Dekel Agri-Vision added.
Executive Director Lincoln Moore commented: "April 2025 marked continued strong momentum in our palm oil operation, with year-to-date revenue up approximately 30% year-on-year, driven by sustained strength in CPO and PKO pricing.
"In addition, our cashew operation is delivering consistent performance improvements, cementing the turnaround and positioning the cashew business to achieve its first Ebitda-positive year in 2025."
By Emma Curzon, Alliance News reporter
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