IOI Corp Reports Pre-Tax Profit Up 73% At RM1.991 Billion

KUALA LUMPUR, Aug 21 (Bernama) -- Increased volume from the resource-based manufacturing segment and higher palm oil prices pushed up IOI Corporation Bhd's pre-tax profit by 73 percent to RM1.991 billion for the financial year ended June 30, 2007, compared with RM1.152 billion in the previous year.The group's turnover increased to RM8.952 billion from RM6.109 billion previously."Overall, the group achieved record net earnings of RM1,482.1 million for 2007, a 79 percent increase over the RM829.0 million recorded last year," it said in a statement today.Plantation earnings for the current year was four percent higher than same period last year with crude palm oil (CPO) price averaging 27 percent higher at RM1,759 per metric tonne from RM1,386 per metric tonne while fresh fruit bunches production was at around the previous year's level of 3,694,535 metric tonnes.The resource-based manufacturing segment achieved a multi-fold increase in operating profit to RM405.4 million compared to RM128.3 million previously with good performances from all three sub-segments, IOI Corp said.The property business also achieved record profit level as well, up by 62 percent in overall segment results at RM598.4 million as compared to RM368.3 million for the previous year, the group said.Apart from a 20 percent increase in the property development operating profit from RM331.3 million to RM397.2 million, the property investment sub-segment profit rose from RM37 million to RM201.2 million after inclusion of a gain of RM160.7 million as a result of restating the investment properties at fair value as required by the reporting standards.Barring unforeseen circumstances, all business segments are expected to improve in performance for the financial year ending June 30, 2008, according to IOI Corp."Therefore, the group's result for the current financial year is expected to be good," it said.