PalmCo Net Profit Soars 90.3% to Rp7.08 Trillion
Jakarta, CNBC Indonesia – PT Perkebunan Nusantara IV (PTPN IV) PalmCo, the state-owned plantation subholding, recorded a 90.3% increase in net profit for the 2025 financial year.
The subholding of PTPN III (Persero) posted a net profit of Rp7.08 trillion in the 2025 financial year, up from Rp3.72 trillion in 2024.
PalmCo Chief Executive Jatmiko Santosa said the profit increase was supported by higher crude palm oil (CPO) production, operational efficiencies, and the impact of strengthened business fundamentals, which delivered added value amid global economic challenges, energy market volatility and climate anomalies throughout 2025.
In addition to the stronger average CPO selling price in 2025, which reached Rp14,223 per kilogram or 10.4% above 2024, PalmCo was able to maximise the momentum through increased CPO sales volume and cost efficiency.
“Cost control and increased production are the backbone of the company. These fundamentals meant the 10% rise in CPO prices in 2025 could translate into a profit surge of up to 90% despite various challenges,” Jatmiko said in an official statement quoted on Wednesday (8 July 2026).
Since its establishment three years ago, PalmCo’s net profit has shown exponential growth. After recording a profit of Rp2.53 trillion in 2023, the company’s performance rose to Rp3.72 trillion in 2024, before leaping to Rp7.08 trillion in 2025. The company described the achievement as its highest level of profitability during its corporate transformation period.
Operationally, PalmCo produced 2.70 million tonnes of CPO throughout 2025, an increase of 7.87% compared with the previous year’s output of 2.49 million tonnes.
Nevertheless, management considers the result not to be the end of the transformation process. The company said it would continue to evaluate operational aspects, strengthen risk management, and improve efficiency to sustain its performance.
“This extraordinary achievement was influenced by two factors: 62% was driven by the rise in commodity prices, while the remaining 38% was purely the result of the hard work of everyone in the company, from increased production onwards,” the company said in a separate statement on its official Instagram account.
Beyond setting internal company records, PalmCo has also ensured its growth goes hand in hand with the productivity and welfare of its partner smallholders. According to data from the Palm Oil Plantation Fund Management Agency (BPDP), in 2025 PTPN IV PalmCo was recorded as the most active company nationally, providing assistance for the Smallholder Palm Oil Replanting Programme (PSR) across 6,672 hectares.
Its plasma smallholders also achieved outstanding productivity above the national standard, reaching an average of 20.18 tonnes of fresh fruit bunches per hectare per year, significantly boosting farmers’ incomes.
Separately, PalmCo said it would continue developing palm oil industrial downstream processing, including optimising palm oil derivative products as feedstock for renewable biogasoline to support national energy security.