Golden Agri-Resources Ltd (GAR) announces a robust financial performance for the year 2023, showcasing resilience and adaptability amidst changing market conditions. With a strategic focus on optimizing margins across the value chain, GAR achieved significant milestones, marked by a six percent growth in second-half 2023 EBITDA compared to the first half, resulting in a full-year EBITDA of US$986 million with a healthy margin of 10 percent.

Chairman’s Perspective

Mr. Franky O. Widjaja, GAR Chairman and Chief Executive Officer, expressed satisfaction with the company’s achievements, attributing them to strong upstream and consistent downstream performance. He emphasized GAR’s commitment to leveraging technological advancements and sustainability initiatives to enhance its competitive edge across the business value chain, ensuring sustained long-term growth.

Financial Highlights

Despite a 15 percent year-on-year decrease in revenue to US$9.76 billion, primarily due to lower CPO prices, GAR saw increased sales volume, partially offsetting the revenue decline. The company reported underlying profit and net profit of US$328 million and US$198 million, respectively, for the year.

Industry Outlook

In line with its commitment to shareholder value and maintaining a strong balance sheet, the Board proposed a final dividend of 0.613 Singapore cents per share for the full year 2023 profit, subject to shareholder approval at the 2024 Annual Meeting.

Segmental Performance

Plantations and Palm Oil Mills: GAR’s plantation area totaled 532 thousand hectares, with 92 percent maturity by the end of 2023. Despite challenges, including El Niño conditions, GAR successfully replanted old estates, contributing to sustainable growth. Increased fruit yield and output, along with a focus on yield intensification, drove segmental EBITDA growth by 19 percent in the second half, reaching US$478 million for the full year.

Palm, Laurics, and Others: GAR’s downstream segment witnessed strong growth in sales volume, expanding by 12 percent to 10.9 million tonnes in 2023. Although revenue declined by 15 percent due to lower selling prices, downstream operations maintained a robust contribution of 51 percent to consolidated EBITDA. Segmental EBITDA for the full year reached US$507 million, with a solid margin of 5.3 percent.

Sustainability Initiatives and Future Outlook

GAR continues to prioritize sustainability initiatives, achieving 99 percent Traceability to the Plantation (TTP) for its palm production in Indonesia. Efforts are underway to enhance sustainability practices and ensure compliance with global standards, including No Deforestation, No Peat, and No Exploitation (NDPE) commitments.

Community Engagement and Risk Mitigation

Looking forward, GAR remains vigilant against fire and haze risks and continues to invest in community-based fire prevention initiatives through programs like Desa Makmur Peduli Api.

About Golden Agri-Resources Ltd (GAR)

GAR is a leading fully-integrated agribusiness company with a focus on palm oil production and distribution. Founded in 1996, GAR manages extensive plantation areas in Indonesia and operates a global marketing network for palm-based products. Committed to sustainable practices, GAR delivers efficient end-to-end supply chain solutions, ensuring responsible production and global delivery of its products to a diverse customer base.


I'm a Post Graduate in Food, Nutrition and Clinical Dietetics. Currently I'm thriving in my role as a Senior Sub-Editor at Food Infotech Magazine. My passion-driven research and engaging interviews with industry leaders captivate readers, bridging the realms of taste, health, and innovation in gastronomy while sparking curiosity about the future of food.

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