the plantation results are only half of what they can achieve at full maturity. The best has yet to come.The forex is just a hiccup. They just need to have a hedging policy in place or something along those lines.

lcng, Costs may go up since Indonesia has annual review of minimum wage, diesel is not subsidised and fertiliser prices are open to market forces so the cop of RM1300 may need to factor this in. Other than that you are spot on.

lcng, your numbers are very close. In Indonesia there is a 10% export duty but you forgot to include the 5% palm kernel yield on top of the CPO which would bring an additional RM30+ million at full maturity. 224,037 mt for 9 mths is like 20 mt per hectare per year - trees are too young to give that yield so probably they purchased outside crop to fill the capacity. lcng, are you from the industry? curious

The 25,996mt per hectare per mth is obviously a typo as not all the fields are yielding yet. The trees are just coming into maturity in stages so expect the yields to keep climbing over the next few years. 4 years down the road they will be hitting close to the 30mt per hectare per year mark - that's when you will see 30,000+ ton/mth. But I do agree with lcng123's observation that MKH has two big core businesses. The agri arm has the potential to overtake the property arm - just do the maths for a 15,000 hectare plantation. The valuation of RM5 looks fair. Takes time though. Chairman still going strong. Wish him well