PETALING JAYA: IOI Corp Bhd reported lower earnings of RM401.64mil in the fourth quarter ended June 30 and RM1.79bil for the financial year.

In its filing with Bursa Malaysia, the plantation heavyweight said the 26.68% decline in the fourth quarter earnings from RM547.82mil a year ago was attributed to lower profit from the plantation and resource-based manufacturing segments.

Translation loss on foreign currency denominated borrowings of RM233.8mil also contributed to the company’s lower earnings.

However, the RM116.3mil gain on dilution of interest in an associated company partially offset the decline.

Revenue for the quarter fell by 13.3% to RM3.75bil from RM4.32bil a year ago. Earnings per share were 6.25 sen compared with 8.54 sen in the previous year. IOI Corp had proposed a dividend of 8.5 sen per share.

The plantation segment profit decreased by 36% to RM315.8mil for the quarter, compared to RM489.7mil previously. The decrease was partially due to lower fresh fruit bunch (FFB) production and lower crude palm oil (CPO) price as well as higher cost of production. FFB production for the quarter fell 28% to 664,192 tonnes from 919,786 tonnes previously.

Meanwhile, the resource-based manufacturing profit decreased to RM40.6mil in the quarter from RM105.7mil a year ago due to lower margins from specialty fats and lower sales from oleochemicals, as well as lower contribution from an associate company.