20th Jan 2025 11:09
(Alliance News) - MP Evans Group PLC on Monday said it delivered "excellent operational results" for 2024, despite adverse weather conditions, as fresh fruit production fell slightly but the harvest from the company's own area increased.
The Tunbridge Wells, England-based producer of Indonesian crude palm oil said its fresh fruit bunch production fell by 0.9% to around 1.61 million tonnes from 1.62 million tonnes in 2023.
The company said crop levels in Indonesia were impacted by dry weather conditions in late 2023.
Despite this environmental backdrop, MP Evans reported an increase in the crop harvested from the enlarged area it manages, rising by 1.5% to 937,000 tonnes from 922,900 tonnes year-on-year.
Purchases from independent suppliers fell by 8.4% to 386,000 tonnes from 421,500 tonnes to give an overall slight decrease in production.
Crude palm oil production was down 1.7% to 372,200 tonnes from 378,500 tonnes in 2023. Palm kernel production increased by 0.9% to 81,300 tonnes from 80,600 tonnes.
The company said the average mill-gate price it received for crude palm oil grew 13% to USD823 per tonne, from USD729 per tonne in 2023.
MP Evans said the price averaged around USD950 per tonne in the last two months of the year, positively impacting the company's revenue and profitability.
The price in early 2025 is down from the late 2024 peak but continues to be higher than the 2024 average price, the company said.
The firm said it remains committed to the policy of increasing its annual dividend given the production figures and price environment.
Chair Peter Hadsley-Chaplin said: "The group has, once again, delivered excellent operational results in 2024, notwithstanding some weather-related challenges during the year. Combining this with the robust price environment, the group will deliver a strong result for 2024, enabling it, as a responsible palm-oil producer focused on excellence, to recommit to its strategic priorities to deliver continuing growth and an increasing yield."
Shares in MP Evans were up 1.7% to 978.25 pence in London on Monday morning.
By Michael Hennessey, Alliance News reporter
Comments and questions to [email protected]
Copyright 2025 Alliance News Ltd. All Rights Reserved.