“The strong performance was due to higher recurring profits from both the upstream and downstream segments, which compensated for a loss from non-recurring transactions,” said the palm oil producer in a filing with Bursa Malaysia today.

Revenue jumped 6.8% to RM4.34 billion from RM4.06 billion previously.

Sime Darby Plantation has received shareholders’ approval to change its name to SD Guthrie Bhd at its extraordinary general meeting on May 28.

In a separate statement, SD Guthrie said the group’s fresh fruit bunch production rose 9% year-on-year (y-o-y) in Q1 2024, underpinned by a 33% increase in its Malaysian operations.

“This improved performance is the result of intensive rehabilitation efforts, supported by the regularisation of labour requirements,” it said.

However, the group’s average y-o-y realised crude palm oil (CPO) price was relatively flat at RM3,880 per tonne.

Meanwhile, average realised palm kernel prices of RM1,940 per tonne were 8% higher y-o-y against the previous corresponding period.

On its downstream arm, it said SD Guthrie International registered a profit before interest and tax of RM121 million in Q1 2024, up 78% y-o-y.

“This strong performance was driven by higher volume demand for bulk and differentiated products in the group’s Asia Pacific refineries and improved margins in Europe, which mitigated the lower profit contribution from its joint ventures,” it said.

Moving forward, SD Guthrie said it expects CPO prices to remain supported in the near term due to continued geopolitical tensions, and the anticipated effects of extreme weather events in producing countries, which may impact the supply of vegetable oils globally.

“Barring any unforeseen circumstances, the group is cautiously optimistic as it looks ahead to another satisfactory performance in the financial year 2024 (ending Dec 31, 2024),” it said.

As at 2.30pm, SD Guthrie’s share price was unchanged at RM4.26, giving the group a market capitalisation of RM29.46 billion.