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Personally I strongly feel the worst is over for WILMAR. Enter today at 3.12.
Wilmar Q1 net profit jumps 23%
The palm oil processor also saw higher sales volume in the consumer products segment
SINGAPORE — Wilmar International, the world’s biggest palm oil processor, yesterday reported a 23 per cent gain in first-quarter net profit, driving shares up as much as 4.2 per cent.
Net profit rose to US$315.4 million (S$387.8 million) in the three months ended March, up from US$255.9 million a year earlier, due to a sharp recovery in the oilseeds and grains business, Wilmar said.
The company also saw higher sales volume in the consumer products segment, as demand for edible oils, flour and rice increased. Revenue fell 3 per cent to US$10.2 billion on lower palm oil and sugar prices.
Wilmar’s shares rose as high as S$3.45 after the announcement before closing up 2 per cent at S$3.38.
OCBC Investment Research analyst Carey Wong said the results were in line with expectations and a “decent start to financial year 2013”. OCBC maintained its buy rating and fair value of S$3.90.
Wilmar’s Chairman and Chief Executive Kuok Khoon Hong is “reasonably confident” the company will overcome the challenging operating environment.
“While palm oil price is likely to remain low, affecting plantations’ profitability, the declining price trend is expected to benefit our downstream value-added businesses,” he said.
“In addition, we expect stronger contributions from our new businesses,” Mr Kuok added.
He said that the company is optimistic about its prospects in China.
“The bird flu will affect meal consumption in the short term, but is not expected to have a long-term effect,” said Mr Kuok.
http://www.todayonline.com/business/wil ... t-jumps-23
Wilmar Q1 net profit jumps 23%
The palm oil processor also saw higher sales volume in the consumer products segment
SINGAPORE — Wilmar International, the world’s biggest palm oil processor, yesterday reported a 23 per cent gain in first-quarter net profit, driving shares up as much as 4.2 per cent.
Net profit rose to US$315.4 million (S$387.8 million) in the three months ended March, up from US$255.9 million a year earlier, due to a sharp recovery in the oilseeds and grains business, Wilmar said.
The company also saw higher sales volume in the consumer products segment, as demand for edible oils, flour and rice increased. Revenue fell 3 per cent to US$10.2 billion on lower palm oil and sugar prices.
Wilmar’s shares rose as high as S$3.45 after the announcement before closing up 2 per cent at S$3.38.
OCBC Investment Research analyst Carey Wong said the results were in line with expectations and a “decent start to financial year 2013”. OCBC maintained its buy rating and fair value of S$3.90.
Wilmar’s Chairman and Chief Executive Kuok Khoon Hong is “reasonably confident” the company will overcome the challenging operating environment.
“While palm oil price is likely to remain low, affecting plantations’ profitability, the declining price trend is expected to benefit our downstream value-added businesses,” he said.
“In addition, we expect stronger contributions from our new businesses,” Mr Kuok added.
He said that the company is optimistic about its prospects in China.
“The bird flu will affect meal consumption in the short term, but is not expected to have a long-term effect,” said Mr Kuok.
http://www.todayonline.com/business/wil ... t-jumps-23