R.E.A. Holdings Plc Announces Half Yearly Results

R.E.A. Holdings Plc (REA) has released its half yearly report for the six months ending 30 June 2024. The report is available on the company's website.

In March 2024, the DSN group increased its investment in REA Kaltim, raising its stake from 15% to 35% with a final consideration of $53.6 million. Moreover, the company is on track to meet EUDR requirements, enhancing its processes and control systems.

Revenue surged by 10% to $80.9 million, driven by increased sales volumes. EBITDA rose by 40% to $21.6 million. The profit before tax stood at $8.1 million, compared to a loss of $15.2 million in 2023. Net indebtedness reduced to $167.9 million, and all outstanding preference dividends were discharged in April 2024.

FFB production dropped to 326,370 tonnes due to a replanting program. Nonetheless, extraction rates improved. Stone sales commenced, and silica sand production arrangements are in progress. Coal operations remain inactive.

Projects with smallholders are being developed to promote sustainable palm oil production. The company is optimistic about the firming CPO prices and improved productivity in the second half of the year.