High Rainfall Pressures Production, PTPN IV PalmCo Maintains Positive Coffee Performance
Anomalous climate with high rainfall at the beginning of 2026 has forced PT Perkebunan Nusantara (PTPN) IV PalmCo to adjust its coffee production rhythm. Despite pressures on the upstream side, the company has managed to maintain its financial performance through strategies to preserve the quality and standards of the harvest.
PTPN IV PalmCo’s President Director, Jatmiko K. Santosa, stated that the increase in rainfall directly impacts the cultivation process, particularly in the ripening of coffee fruits. Therefore, the company chose to delay the main harvest to ensure the quality of the beans remains intact.
“However, this condition does not hinder the coffee segment’s financial performance from continuing to record positive results,” Jatmiko said in his statement in Jakarta on Thursday.
In the first quarter of 2026, PTPN IV recorded a pre-tax profit from coffee commodities of Rp3.43 billion. This achievement was supported by a significant surge in sales at the beginning of the year, amid management’s decision to shift the main harvest schedule.
Company data shows that net coffee sales nearly doubled year-on-year, from Rp10.94 billion in the first quarter of 2025 to Rp21.78 billion in the same period this year. Nevertheless, EBITDA was recorded to have slightly decreased to Rp3.70 billion from Rp3.82 billion in the previous year.
On the upstream side, the main challenge comes from reduced sunlight intensity due to high rainfall. This condition slows the photosynthesis process and fruit ripening, causing the cherries to develop more slowly in several operational areas.
In the Java Coffee Estate (JCE) area on the slopes of the Ijen Plateau, East Java, rainfall was recorded at 120 millimetres with 21 rainy days throughout the first quarter. Meanwhile, in Jambi, rainfall reached 57 millimetres with 10 rainy days.
Java Coffee Estate KSO Manager, Hastudy Yunarko, emphasised that the harvest cannot be forced when the fruit is not perfectly ripe. “If forced, the coffee brew quality will decline and risk the product quality standards,” he said.
Therefore, management decided to shift the main harvest to May 2026, adjusting to the natural ripeness level of the coffee fruits. This step is deemed important to maintain the product’s competitiveness in the market while ensuring quality remains intact.