UIE's Half Year Report 2022
On Wednesday, 17 August 2022, UIE Plc. announced its financial results for the first half of 2022.
Highlights from H1 2022:
UIE’s net result in the first half of 2022 amounted to a loss of USD 57.8 million, which is a significant change relative to the net profit of USD 57.9 million reported in the first half of 2021.
The share of UP’s net profit increased by 10% to USD 27.2 million after a strong second quarter due to high prices for crude palm oil ("CPO") and palm kernel ("PK"). The improvement in results relates to the Plantation Division, whilst the half-year results from UP’s refinery division remain negatively affected by the timing differences of raw material hedging positions versus physical delivery of the finished goods. UP’s plantation division reported production volumes in the same range as the first half of 2021, but the higher selling prices led to an improved result compared to the same period last year:
- UP’s production of CPO was largely unchanged, while PK increased by 5%.
- UP’s average selling prices of CPO and PK increased by 33% and 57%, respectively.
The fair value of UIE's investment in Schörling amounted to USD 182.8 million at the end of the first half of 2022 - a decrease of USD 81.1 million, or 31%, since year-end 2021. This is due to the turmoil experienced in global equity markets during the first half of 2022 as well as a weaker SEK towards USD. For comparison, the fair value adjustment in the first half of 2021 was an increase of USD 29.8 million.
The fair value of UIE’s investment in Greenbridge amounted to USD 55.2 million at the end of the first half of 2022. In May 2022, UIE invested an additional USD 16.9 million in a capital increase. The fair value adjustment for the half year amounted to an increase of USD 3.8 million, mainly due to positive development in the largest investment, Neo4j.
