KUALA LUMPUR - Investment Bank Bhd, Hwang Affin, Thursday (7/5) mentioned that the citation from crude palm oil export or CPO Supporting Fund (CSF) will be negative in the short term for Malaysian palm oil companies. But it is hoped to increase the CPO price and give benefits to the plantation in the long term.
In the notes of investment bank research, it was mentioned that the retribution to the export will influence Malaysian plantation in Indonesia.
“We estimated, in one year, it will cut off our net profits in IJM Plantation Bhd and Genting Plantation Bhd which reaching 5,7% and 3,5% for each,” he said.
Beside that, Affin Hwang continued as quoted from Bernama, the CSF Fund could decrease the net profits of Kuala Lumpur Kepong Bhd about 3,0% and Sime Darby Bhd about 2,3%. (T3)
