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IndoAgri 2025 Net Profit Rises 19% as Higher CPO Prices and Downstream Expansion Drive Growth



Foto by Dede Sugiana/Sawit fest 2021
IndoAgri 2025 Net Profit Rises 19% as Higher CPO Prices and Downstream Expansion Drive Growth

InfoSAWIT, JAKARTA – IndoAgri delivered stronger financial and operational performance in 2025, supported by higher crude palm oil (CPO) prices, resilient plantation operations and continued expansion of its downstream processing capacity.

According to IndoAgri’s 2025 annual report, as reported by InfoSAWIT, Chief Executive Officer and Executive Director Mark Julian Wakeford said the company maintained its competitiveness despite geopolitical tensions and continued volatility across global commodity markets.

“2025 was a year of growth and resilience for IndoAgri. We strengthened our plantation operations and expanded refinery capacity while remaining focused on sustainable practices and supply chain efficiency,” Wakeford said in the report.

 

Higher CPO Prices Support Earnings

Market conditions during 2025 provided a favourable backdrop for the palm oil industry. Limited supply and strong demand linked to Indonesia’s domestic biodiesel programme contributed to higher CPO prices.

Domestic CPO prices, based on KPB pricing, rose 8% to an average of Rp14,234 per kilogram, while international CPO prices on a CIF Rotterdam basis increased 15% to an average of US$1,283 per tonne. Higher palm kernel oil prices, which followed broader trends in the coconut oil market, also contributed to stronger revenue and profitability.

The improved market environment was reflected in IndoAgri’s financial results. Revenue climbed 32% to Rp21.1 trillion, while net profit after tax increased 19% to Rp2.5 trillion in 2025.

 

Climate Risk Management Remains a Priority

Beyond market performance, IndoAgri continued to strengthen its approach to managing climate-related risks across its plantation operations.

The company’s Plantation Division uses climate projections from the World Bank extending to 2050, supported by rainfall pattern analysis that is updated every six months. The information is used to help identify potential risks and guide longer-term operational planning.

IndoAgri has also allocated capital expenditure for flood mitigation, particularly in higher-risk areas such as Kalimantan, as part of efforts to protect fresh fruit bunch (FFB) productivity over the long term.

With stronger CPO prices, improved earnings and continued investment in both downstream capacity and climate resilience, IndoAgri closed 2025 with a firmer foundation for navigating the challenges and opportunities facing the palm oil industry. (T2)

Source: InfoSAWIT Magazine, June 2026 Edition

 

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