Olam's First-Half Profit Surges Sixfold on Asset Sale Gains
Olam Group's H1 profit jumped nearly sixfold to S$1.91 billion, driven by asset sale gains and a revaluation; it declared a special dividend.
Singapore-based Olam Group reported a nearly sixfold surge in first-half net profit on Friday, propelled by one-off gains from asset disposals and a revaluation tied to its restructuring.
The agri-commodities firm recorded total exceptional gains of S$1.75 billion from selling a 44.58% stake in its agri-business unit Olam Agri and divesting its technology services arm, Mindsprint.
Profit attributable to shareholders for the six months ended June 30 came in at S$1.91 billion, up sharply from S$323.8 million a year earlier.
Olam declared an interim dividend of 7 Singapore cents per share, up from 2 cents last year, and announced an additional special dividend of 6 cents per share.
However, underlying operational profit from continuing operations more than halved to S$64.4 million, reflecting ongoing challenges.
Its flagship food ingredients unit, ofi, said it expects continued market volatility due to geopolitical tensions, shifting trade policies, and weather-related supply risks. The unit is targeting low- to mid-single-digit volume growth and high single-digit adjusted earnings growth over the medium term.