Palm Oil Company Owned By Conglomerate Anthony Salim Raised Sales Of IDR 765 Billion And Profit Of IDR 305 Billion In The First Quarter Of 2022

JAKARTA - The palm oil company owned by conglomerate Anthony Salim, PT PP London Sumatra Indonesia Tbk (LSIP) recorded sales of Rp. 765 billion in the first quarter of 2022. This value decreased by 36 percent from sales in the first quarter of last year which reached Rp. 1.19 trillion.

The management of LSIP in a written statement, quoted on Thursday 2 June, stated that the decline was mainly due to a decrease in the sales volume of palm products despite an increase in the average selling price (ASP) of palm products.

Meanwhile, London Sumatra recorded a gross profit of IDR 440 billion, up 3 percent yoy. After deducting other expenses and tax expense, LSIP's profit for the period attributable to owners of the parent company increased 2 percent yoy to Rp305 billion.

The increase in net profit performance was in line with the growth in gross profit and a decrease in operating expenses which were partially offset by increases in other operating expenses.

"Lonsum maintains a healthy financial position with total assets of Rp 12.21 trillion including cash and cash equivalents of Rp 3.46 trillion and no funding through bank loans as of March 31, 2022," explained LSIP's management.

In the first quarter of 2022, core FFB production fell by 29 percent yoy to 226,000 tonnes, mainly due to unfavorable weather and replanting activities.

In line with the decline in core and external FFB production, total CPO production fell 39 percent yoy to 53 thousand tons. In line with the decline in production, CPO sales volume fell 66 percent yoy to 33 thousand tons, while sales volume for PK products fell 29 percent yoy to 18 thousand tons.