Okomu Oil Palm Plc kicked off the 2022 financial year with an impressive performance. In the first
quarter of the year, the company reported 63.18% YoY growth in revenue to NGN20.49bn, as the
rally in global crude palm oil prices pushed revenue to its highest level. Sales from crude palm oil,
which makes up 92.14% of its total revenue, grew significantly by 66.56%YoY to NGN18.87bn in
Q1:2022. The rising demand for palm oil globally (particularly triggered by the more expensive
alternative oils such as sunflower oil and rapeseed oil) has further spurred higher CPO prices
across the globe. Consequently, imports of expensive CPO (from Malaysia) into the Country
reduced by 76.54%YoY in the first quarter of the year. In our opinion, this gave local producers
such as OKOMUOIL the leeway to drive both production volumes and palm oil prices higher.
