Kuala Lumpur Kepong (KLK) posted 9MFY26F core profit of RM902.2m, down 8.3% YoY. The results were in line with analysts full-year expectation but below the street’s expectations, making up 75.2% and 67.2%, respectively.
KLK
Stripping out i) surplus on disposal of land (RM128.8m), ii) foreign exchange (FX) gain (RM29.9m), iii) loss on derivatives (RM82.4m), iv) provision for inventories and receivables (RM25.8m) and v) a one-off non-cash impairment in 21.3%-owned specialty chemical company, Synthomer (RM1.6bn),
“Meanwhile, we raise our FY26-28F earnings by 7-9% to reflect a higher CPO price assumption of RM4,500/mt. We maintain Neutral with a higher SOP-based TP of RM23.86. No dividend was declared for the quarter,” says PIB.
