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Integrated Business Model

IOI Corporation Berhad’s (IOI) palm oil business comprises the plantation and downstream resource-based manufacturing segments. A substantial portion of our plantation produce, i.e. crude palm oil (CPO) and palm kernel, is being utilised in our downstream manufacturing operations.

For the financial year ended 30 June 2019, approximately 90% (FY2017 – 89%) of our plantation revenue of RM1.8 billion comprises sales to our manufacturing segment. To supplement downstream requirement, purchase of CPO and palm kernel oil (PKO) are also made from pre-qualified suppliers.

The integration of our two business segments is best illustrated in this diagram: