KUALA LUMPUR, Nov 23 — Kuala Lumpur Kepong Bhd’s (KLK) net profit surged to RM2.25 billion in the financial year ended September 30, 2021 (FY2021) from RM772.6 million a year before.

Revenue also rose to RM19.92 billion from RM15.6 billion previously, it said in a filing with Bursa Malaysia.

KLK said that for the fourth quarter (Q4 2021), the company recorded net profit of RM625.8 million compared to RM208.8 million for the same quarter last financial year. Revenue was RM5.9 billion compared to RM4 billion in the previous year mainly on higher earnings from the plantation and manufacturing segments.

"Plantation profit rose three-fold to RM585.6 million from RM192.4 million due to improvement in crude palm oil (CPO) and palm kernel selling prices as well as higher CPO sales volume.

"Profit contribution from a newly acquired subsidiary, IJM Plantations Bhd and better profit contribution from processing and trading operations also lead to a higher profit,” it said.

Meanwhile manufacturing profit rose 21.3 per cent to RM144.3 million in Q4 2021 from RM118.9 million in the same period last year contributed by better performance from China and Europe operations while profit of the Malaysia operations was lower.

"The oleochemical division’s profit was 21.6 per cent higher at RM144.4 million while other manufacturing units posted a loss of RM118,000,” it said.

On prospects, KLK said the performance of the plantation segment for the financial year 2022 is expected to be better on the back of strong prevailing CPO prices and profit contribution from the newly acquired plantation subsidiaries.

"Despite challenges from volatile raw material price movements and logistic issues caused by the pandemic, the oleochemical division expects to maintain its performance in financial year 2022,” it added.

The directors will recommend the payment of a final dividend for the financial year ended September 30, 2021 at a later date, it added. — Bernama