Indonesian Political, Business & Finance News

Palm Oil Emitter Salim Group Lonsum (LSIP) Records Net Profit of Rp1.88 Trillion in 2025

| | Source: MARKET.BISNIS.COM Translated from Indonesian | Finance
Palm Oil Emitter Salim Group Lonsum (LSIP) Records Net Profit of Rp1.88 Trillion in 2025
Image: MARKET.BISNIS.COM

Jakarta — Palm oil emitter from the Salim Group, PT PP London Sumatra Indonesia Tbk. (Lonsum), recorded increases in revenue and net profit for the 2025 financial year.

According to its financial report, Lonsum posted sales of Rp5.51 trillion, growing 21 per cent year-on-year compared with 2024’s Rp4.56 trillion. The increase was primarily driven by higher average selling prices and increased sales volumes for palm products.

LSIP recorded gross profit of Rp2.26 trillion, up 14 per cent year-on-year. Operating profit increased 30 per cent year-on-year to Rp2.01 trillion.

The profit for the year attributable to owners of the parent entity surged 28 per cent year-on-year to Rp1.88 trillion, from Rp1.47 trillion in 2024.

On the operational side, Lonsum’s core Fresh Fruit Bunch (FFB) production fell 3 per cent year-on-year to 1.14 million tonnes. However, total crude palm oil (CPO) production increased 2 per cent year-on-year to 292,000 tonnes, in line with increased FFB supplies from external parties.

By the end of 2025, Lonsum recorded no bank debt financing, reflecting a solid capital structure.

Lonsum President Director Tan Agustinus Dermawan stated that the company was able to record positive performance amid volatility in commodity prices, uncertain weather conditions, and global uncertainty.

“Lonsum recorded positive performance in 2025 amid various challenges in the agribusiness sector that continue to persist,” he said.

He further stated that Lonsum’s focus remained on cost control and efficiency, optimisation of operational activities and productivity, as well as prioritising capital investments whilst maintaining sustainable agricultural practices.

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