On 9 November 2018, First Resources Ltd (SGX: EB5) released its 2018 third quarter earnings update. As a quick background for context, First Resources is an integrated palm oil producer, managing more than 210,000 hectares of oil palm plantations across the Riau, East Kalimantan and West Kalimantan provinces of Indonesia. The company organizes its business into two segments: Plantation and Palm Oil Mills; and Refinery and Processing. In this article, I want to look at the positive as well as negative takeaways from First Resources’ latest results. The positives Firstly, First Resources’ revenue and net profit attributable to shareholders for 2018’s third quarter grew significantly compared to a year ago. The former was up by 24.7% to US$171.4 million while the latter cli

Last Friday, First Resources Ltd (SGX: EB5) released its 2018 third-quarter results. As a quick introduction, First Resources is an integrated palm oil producer, managing more than 200,000 hectares of oil palm plantations across the Riau, East Kalimantan and West Kalimantan provinces of Indonesia. Here are 10 quick points on First Resources’ latest earnings update: For the latest quarter ended 30 September 2018, revenue was up by 24.7% year-on-year to US$171.4 million. Operating profit was up by 12.9% year-on-year to US$59.9 million, driven mainly by higher sales. Net profit attributable to owners improved 22.2% year-on-year to US$39.0 million. EBITDA (earnings before interest, tax, depreciation and amortization) for the quarter improved by 10.5% year-on-year to US$76.4 million. Gross

In an earlier article, I shared four reasons why Bumitama Agri Ltd  (SGX: P8Z) looks like a good investment opportunity at the moment after seeing its share price fall hard from its 2014 peak of S$1.23. For perspective, Bumitama Agri’s share price is currently S$0.65. But, every investment contains risks, and Bumitama Agri is no exception. So, in this article, I want to share three important risks that investors should pay attention to. The business As a quick introduction, Bumitama Agri is a palm oil producer. The company has over 180,000 hectares of plantation land located in three provinces in Indonesia, namely, Central Kalimantan, West Kalimantan, and Riau. Bumitama Agri’s primary business focus is on growing and harvesting palm oil fruits, processing them to obtain palm