United Malacca Berhad – FFB Production Continues to Grow

United Malacca’s 1QFY16 financial results came in within our expectations. Net profit of RM12.3mn accounted for 23% of our full year estimate. On QoQ basis, net profit increased by 23.7%, mainly attributable
to higher FFB production. Note that FFB production increased by 29.4% QoQ to 90.2k tonnes while CPO production also rose by 43.8% QoQ to 21.0k tonnes.