Share Prices & Company Research

Market News

15 Nov 2024 | 09:11

Higher palm oil prices boost MP Evans

(Sharecast News) - Shares in MP Evans Group rallied on Friday, after the AIM-listed firm said a surprise jump in crude palm oil prices would bolster profits. The producer of Indonesian palm oil warned in September that there was a risk prices would fall during the rest of year.

However, on Friday it said: "This has not happened. Furthermore, CPO prices have strengthened significantly since the group's interim results, in response to a tightening of global vegetable oil supplies."

MP Evans achieved an average mill-gate price of $777 per tonne in the first eight months of the year. Since then, the average price increased to around $800 per tonne, with some sales exceeding $950 per tonne in November.

It continued: "This more favourable pricing environment, combined with a continued focus on cost control, means that the board expects group revenue to be higher than previously envisaged, and that there will be a more significant impact of anticipated profitability."

As at 0900 GMT, shares in MP Evans had put on nearly 8% at 1,000p.

Crop forecasts, for 1.6m tonnes this year, were left unchanged.

MP Evans said it would provide a further update on the crop, production and pricing in January 2025.
Get in touch today
Join Redmayne Bentley
Talk to us now about opening a new portfolio or transferring your portfolio from another provider
0113 243 6941
Get in touch today
Contact your local office
Contact your local office to find out more
The value of your investments and the income from them may go down as well as up, and you could get back less than you invested.