KUALA LUMPUR: FGV Holdings Bhd’s net profit for the financial year ended Dec 31, 2021 (FY2021) soared to RM1.17 billion from RM146.16 million a year ago.

       Revenue also jumped by 39 per cent to RM19.58 billion from RM14.08 billion previously, it said in a filing with Bursa Malaysia today.

       "The significant improvement in the performance was mainly attributable to higher crude palm oil (CPO) price coupled with the improvement from all sectors and lower fair value charge on the land lease agreement (LLA) in the current financial year,” the plantation group said.

       The plantation sector registered a higher profit of RM1.60 billion for FY2021, mainly attributable to the higher average CPO price realised of RM3,671 per tonne against RM2,675 per tonne registered in a previous corresponding financial year.

       Operationally, fresh fruit bunches (FFB) production dropped by seven per cent to 3.98 million tonnes, thus leading to a lower yield of 15.69 tonnes per hectare.

       The board of directors has agreed to declare a final dividend payment of 8.0 sen per share under the single-tier system which approximates to RM291.85 million for the financial year ended Dec 31, 2021 payable on March 31, 2022.

       Moving forward, the group’s plantation sector is expected to sustain its performance in line with the high CPO price, which is currently trading above RM5,000 per tonne. - Bernama