Monday, 25 May 2020

Industry Comparison – Palm Oil Part IV


Sector                 : Plantation
Sub Sector         : Plantation


Part IV – Summary of comparison based on 2018


In summary a point is given to each company to evaluate each company competitiveness, operational and sustainability. Points given are as follows:

Competitiveness

Criteria
Point
Greater than 10 % Market Shares
5
8.01 % - 10.00 % Market shares
4
6.01 % - 8.00 % Market shares           
3
3.01 % - 6.00 % Market shares           
2
1.00 % - 3.00 % Market shares           
1
Less than 1%
0

Operational

Operation Margin for the top 30 oil palm company had a median of 10.18 %

Criteria
Point
Greater than 15.00  Operating Margin
5
12.00 – 15.00 Operating Margin
4
8.01 – 12.00 Operating Margin          
3
5.01 – 8.00 Operating Margin            
2
1.00 – 5.00  Operating Margin           
1
0.00 – 1.00 Operating Margin
0
Less than 0
Disqualified

Sustainability

Criteria
Point
No Financial Cost
2
Greater than 5 Interest Coverage Ratio
1
Less than 5 Interest Coverage Ratio
0

Average Debt ratio for top 30 oil palm companies in Malaysia is 0.37

Criteria
Point
Less than 0.30
3
0.31 – 0.40
2
0.41 – 0.50
1
Greater than 0.50
0

COMPANY
Competitiveness
Operational
Sustainability
Total
SIMEPLT
(5285)
5
5
2
12
FGV
(5222)
5
DIS
0
DIS
BKAWAN
(1899)
5
3
2
10
IOICORP
(1961)
5
5
1
11
KLK
(2445)
4
3
2
9
SOP
(5126)
2
1
1
4
BLDPLNT
(5069)
2
DIS
3
DIS
GENP
(2291)
1
5
1
7
UTDPLT
(2089)
1
5
4
10
KMLOONG
(5027)
1
4
4
9
TSH
(9059)
1
5
0
6
KWANTAS
(6572)
1
DIS
2
DIS
IJMPLNT
(2216)
1
4
2
7
BPLANT
(5254)
0
DIS
2
DIS
TAANN
(5012)
0
5
4
9
THPLANT
(5112)
0
5
0
5
KRETAM
(1996)
0
DIS
3
DIS
JTIASA
(4383)
0
1
1
2
HSPLANT
(5138)
0
3
5
8
FAREAST
(5029)
0
5
5
10
RSAWIT
(5113)
0
DIS
0
DIS
MHC
(5026)
0
3
3
6
SWKPLNT
(5135)
0
3
2
5
UMCCA
(2593)
0
3
4
7
CEPAT
(8982)
0
2
3
5
NPC
(5047)
0
1
0
1
TDM
(2054)
0
DIS
1
DIS
HARNLEN
(7501)
0
0
0
0
CHINTEK
(1929)
0
5
5
10
INNO
(6262)
0
4
5
9

From the evaluation above, SIMEPLT (12 points), BKAWAN (10 points), IOICORP (11 Points), UTDPLNT (10 points), FAREAST (10 points), CHINTEK (10 points)  is worth for further evaluation.



Summary of Industry Comparison

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