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DSNG Reports Higher First-Half 2026 Earnings, Palm Oil Business Remains Main Growth Driver



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DSNG Reports Higher First-Half 2026 Earnings, Palm Oil Business Remains Main Growth Driver

InfoSAWIT, JAKARTA – PT Dharma Satya Nusantara Tbk (DSNG) posted stronger financial results in the first half of 2026, supported by improved palm oil sales, firmer commodity prices, and continued operational efficiency despite ongoing challenges in the plantation and wood products sectors.

According to an official statement received by InfoSAWIT, the company generated Rp6.29 trillion in revenue during the January–June period, representing a 3.4% year-on-year (YoY) increase. Net profit climbed 7.8% YoY to Rp985.88 billion, while EBITDA remained steady at approximately Rp2 trillion.

Palm oil continued to dominate the company's business portfolio, contributing around 90% of total revenue and earnings. The stronger financial performance was primarily driven by higher sales volumes of crude palm oil (CPO) and palm kernel (PK), alongside improved average selling prices.

During the reporting period, the average selling price of CPO increased 2.5%, while PK and palm kernel oil (PKO) recorded gains of 13% and 9.4%, respectively.

Operational efficiency also contributed to improved profitability. DSNG reduced its finance costs to Rp169.5 billion, down from Rp231.8 billion recorded in the corresponding period of 2025.

President Director Andrianto Oetomo said the company remains focused on strengthening productivity while maintaining financial discipline amid an evolving market environment.

"Despite the industry's ongoing challenges, we continue to prioritize productivity improvements, sound agronomic practices, operational efficiency, and our replanting program. These initiatives are essential to maintaining our long-term competitiveness and sustainable growth," Andrianto said.

DSNG's balance sheet also remained healthy, with total assets reaching Rp17.81 trillion and shareholders' equity rising to Rp12.13 trillion by the end of June 2026. Meanwhile, total liabilities declined to Rp5.68 trillion, reflecting the company's prudent capital management strategy.

Operationally, DSNG processed approximately 1.3 million tonnes of fresh fruit bunches (FFB) during the first half of the year, down 4.5% YoY. CPO production reached 299,300 tonnes, while PK and PKO output totaled 56,600 tonnes and 18,400 tonnes, respectively.

Although production volumes declined, processing efficiency improved. The company's Oil Extraction Rate (OER) increased to 23.51% from 23.33% a year earlier. CPO quality also improved, with Free Fatty Acid (FFA) content declining to 2.98%, reinforcing the premium quality of DSNG's palm oil.

Outside its plantation business, the wood products division continued to face weak global demand, particularly from Europe and North America. Panel sales volume fell 6% to 58,600 cubic meters, while engineered flooring sales dropped 64% to 116,200 square meters.

In contrast, DSNG's renewable energy segment delivered robust growth. Exports of palm kernel shells (PKS) and wood pellets expanded significantly, supported by the full commercial operation of the company's wood pellet manufacturing facility.

PKS sales increased 29% YoY to 31,450 tonnes, while wood pellet sales surged 103% to 21,640 tonnes during the first six months of 2026.

Further highlighting its strong performance, DSNG was once again included in the Fortune Southeast Asia 500 ranking in June 2026, recognizing the region's leading companies based on financial performance.

Looking ahead, the company plans to maintain its focus on productivity improvements, operational efficiency, and prudent financial management to support sustainable long-term growth. (T2)


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