AEP Plantations (AEP) H1 2025 earnings summary

Executive summary

• Revenue increased by 39% year-over-year to $230.5 million for the six months ended 30 June 2025, driven by higher sales volumes and improved prices.

• Gross profit rose 76% and profit before tax surged 78% compared to the same period last year.

• Strong cash position of $244.7 million and no bank borrowings as of 30 June 2025.

• Board intends to declare an interim dividend by the end of Q3 2025 and has launched a new £8 million share buyback programme.

Financial highlights

• Revenue: $230.5 million (+39% YoY); Gross profit: $62.8 million (+76% YoY); Profit before tax: $62.6 million (+78% YoY); Profit after tax: $48.8 million (+75% YoY).

• Basic EPS: 123.36 cents (+75% YoY).

• Average CPO price: $863/mt (+15% YoY); Average palm kernel price: $738/mt (+80% YoY).

• Net assets: $584.8 million as of 30 June 2025, up from $558.5 million at 31 December 2024.

• Cash generated from operations: $67.6 million in H1 2025.

Outlook and guidance

• CPO prices expected to remain firm for the rest of 2025, supported by reduced import duties in India and strong domestic demand in Indonesia.

• Board confident in achieving positive performance in H2 2025.

• Long-term demand fundamentals for CPO remain robust.