Wilmar International (F34) H1 2025 earnings summary

Executive summary

• Profit before tax rose 26.3% year-over-year to US$937.7 million, driven by strong Plantation and Sugar Milling and Food Products segments, with the former's profit more than tripling due to higher palm oil prices and production.

• Net profit increased 3% to US$594.9 million, while core net profit declined 4% to US$583.7 million, impacted by higher tax expenses and weaker Feed and Industrial Products performance.

• Revenue grew 6.3% year-over-year to US$32.89 billion, supported by higher sales volumes and stronger palm-related product prices.

• Share of profits from associates and joint ventures more than doubled, especially from Asian investments.

• Interim dividend per share was cut by 33% to S$0.04, declared for payment on August 28, 2025.

Financial highlights

• EBITDA increased 12% year-over-year to US$2.00 billion.

• Earnings per share (fully diluted) up 2% to 9.5 US cents.

• Operating cash flow before working capital changes rose to US$1.87 billion from US$1.42 billion in 1H2024.

• Net gearing ratio improved to 0.87x from 0.94x at FY2024, reflecting reduced net debt.

• Free cash flow for 1H2025 was US$1.25 billion; net loans and borrowings reduced by US$739.2 million to US$17.90 billion.

Outlook and guidance

• Refining margins for tropical oils expected to remain challenged; plantations business outlook remains favorable for the rest of the year.

• Crushing operations expected to remain stable.

• Final 2025 results depend on resolution of operational issues in Indonesia; management is cautiously optimistic for satisfactory core segment performance barring unforeseen circumstances.