Stock Name: IJMPLNT
Company Name: IJM PLANTATIONS BHD
IJM Plantation Bhd's financial year 2014 (FY14) revenue is expected to increase by 16 per cent upon maturity of the 13,000 hectares of oil palm it planted in Indonesia during FY12 and FY11.
In a research note today, JF Apex Securities Bhd said IJM's revenue was expected to be further enhanced from FY16 onwards with the prime production period with fresh fruit bunches yield increase from the current 23.7 tonnes/ha to 25 tonnes.
JF Apex has around 45,000ha of planted area in Sabah and Indonesia and aimed to grow its planted landbank to 70,000ha in FY13.
It said IJM's efforts to increase the landbank would be focused in Indonesia where it currently has around 20,000ha.
"IJM aims to achieve 30,000-40,000ha in Indonesia by planting 5,000-8,000ha annually over the next two to three years," it said.
It said as at March 2011, IJM's oil palm tree age profile consisted of 64 per cent of matured trees and 36 per cent of immature trees.
"The large portion of immature trees is expected to sustain revenue growth," it said.
JF Apex has recommended a 'buy' call on IJM with the target price of RM3.75.
"We are bullish on the long-term prospect once the Indonesian estate starts to contibute," it said. -- Bernama
Company Name: IJM PLANTATIONS BHD
| Research House: JF APEX | Price Call: BUY | Target Price: 3.75 |
IJM Plantation Bhd's financial year 2014 (FY14) revenue is expected to increase by 16 per cent upon maturity of the 13,000 hectares of oil palm it planted in Indonesia during FY12 and FY11.
In a research note today, JF Apex Securities Bhd said IJM's revenue was expected to be further enhanced from FY16 onwards with the prime production period with fresh fruit bunches yield increase from the current 23.7 tonnes/ha to 25 tonnes.
JF Apex has around 45,000ha of planted area in Sabah and Indonesia and aimed to grow its planted landbank to 70,000ha in FY13.
It said IJM's efforts to increase the landbank would be focused in Indonesia where it currently has around 20,000ha.
"IJM aims to achieve 30,000-40,000ha in Indonesia by planting 5,000-8,000ha annually over the next two to three years," it said.
It said as at March 2011, IJM's oil palm tree age profile consisted of 64 per cent of matured trees and 36 per cent of immature trees.
"The large portion of immature trees is expected to sustain revenue growth," it said.
JF Apex has recommended a 'buy' call on IJM with the target price of RM3.75.
"We are bullish on the long-term prospect once the Indonesian estate starts to contibute," it said. -- Bernama
No comments:
Post a Comment