PalmCo Net Profit Soars 90.3% to Rp7.08 Trillion

State-owned plantation subholding PT Perkebunan Nusantara IV (PTPN IV) PalmCo has reported a 90.3% increase in net profit for the 2025 financial year. The subholding of PTPN III (Persero) recorded a net profit of Rp7.08 trillion, up from Rp3.72 trillion in 2024. PalmCo President Director Jatmiko Santosa stated that the profit increase was supported by a rise in crude palm oil (CPO) production, operational efficiency, and the impact of strengthened business fundamentals, which provided added value amid global economic challenges, energy market volatility, and climate anomalies throughout 2025. In addition to the strengthening of the average CPO selling price in 2025, which reached Rp14,223 per kg or 10.4% above 2024, PalmCo maximised this momentum through increased CPO sales volume and cost efficiency. “Cost control and increased production are the backbone of the company. These fundamentals meant that a 10% increase in CPO prices in 2025 resulted in a profit surge of up to 90% amidst various challenges,” Jatmiko said in an official statement. Since its establishment three years ago, PalmCo’s net profit has shown exponential growth. After recording a profit of Rp2.53 trillion in 2023, performance rose to Rp3.72 trillion in 2024, before jumping to Rp7.08 trillion in 2025. The company described this achievement as the highest level of profitability during its transformation period. Operationally, PalmCo produced 2.70 million tonnes of CPO throughout 2025, a 7.87% increase from the previous year’s 2.49 million tonnes. Management views these results not as the end of the transformation process, stating the company will continue to evaluate operational aspects, strengthen risk management, and improve efficiency to sustain performance. The company noted that 62% of the achievement was influenced by rising commodity prices, while 38% was purely the result of the hard work of all company personnel, from production increases to other efforts. Beyond internal records, PalmCo ensured its growth aligned with the productivity and welfare of partner smallholders. According to data from the Oil Palm Plantation Fund Management Agency (BPDP), in 2025 PalmCo was the most active company nationally, assisting 6,672 hectares under the Smallholder Oil Palm Replanting (PSR) programme. Assisted plasma farmers also achieved productivity above the national standard, averaging 20.18 tonnes of fresh fruit bunches per hectare per year, significantly impacting their incomes. PalmCo also stated it will continue developing the downstream palm oil industry, including optimising derivative products as raw material for renewable biogasoline to support national energy security.