Wilmar International Reports Higher Half-Year Profit

Wilmar International reported a 5.2% increase in net profit to US$579.6 million for the first half of 2024, driven by strong performance in its Food Products and Feed & Industrial Products segments. The Food Products segment saw a remarkable 77% jump in pre-tax profit due to higher sales volume, while the Feed & Industrial Products segment's profit rose 34%. However, contributions from joint ventures and associates plummeted by 58%, reflecting lower earnings from investments in Europe, China, and Africa. Overall revenue declined 4.9% year-on-year to US$30.9 billion, impacted by rising commodity prices. Wilmar's shares have dipped slightly, and analysts have adjusted their earnings forecasts downward, citing various industry headwinds. The company remains optimistic about improving demand for soybean products despite challenges in refining margins for tropical oils.