SIPEF achieves outstanding financial performance, sustainable operational progress, and long-term strategic investment
SIPEF reached new milestones in 2025, delivering a net profit (Group share) of USD 125.4 million, an increase of 90.5% compared with the previous year. This strong performance was driven by robust palm and banana production, supported by the progressive maturation of plantations, disciplined operational management, and favourable market prices.
Group revenue increased to USD 570.4 million, supported by a 21.9% rise in palm oil production volumes and a 10.1% improvement in the average ex-mill gate crude palm oil (CPO) selling price. Banana revenue grew by 4.8%, backed by higher volumes (+2.2%), a higher average unit selling price (+1.5%), and the strengthening of the euro against the US dollar.
The Group closed the year with a strong net financial position of USD 88.4 million, despite capital expenditures of USD 89.4 million. These investments were primarily directed towards expansion in South Sumatra, continued mill upgrades, and ongoing replanting programmes.
A strong year for palm oil production
Total CPO production rose to 441 866 tonnes. In Indonesia, CPO production increased by 19.8%, driven by higher crop intake and disciplined estate management. South Sumatra remained the main growth driver as newly developed areas continued maturing into full production. North Sumatra delivered stable results, supported by consistent field conditions and reliable mill performance, while Bengkulu recorded a softer fourth quarter due to seasonal ripening patterns and temporarily lower bunch availability.
In Papua New Guinea, CPO production rose by 26.5% compared with 2024. This was supported by increased fresh fruit bunch (FFB) supply, improved oil extraction rates (OERs), and favourable rainfall patterns that supported harvesting activities. The continued rehabilitation of estates affected by the 2023 volcanic eruption contributed positively to volumes, while smallholder deliveries remained a key contributor to overall mill throughput.
By the end of 2025, SIPEF managed 84 576 planted hectares of oil palm, within a broader supply base of 105 480 hectares supplying ten mills across Indonesia and Papua New Guinea.
Strengthening banana production and market growth
Banana production in Côte d’Ivoire — managed by SIPEF’s subsidiary, Plantations J. Eglin —increased by 2.2% to 52 159 tonnes, despite periods of heavy rainfall and storm activity that temporarily disrupted field operations and affected average bunch weights, particularly at more mature estates.
This rise in production volumes, coupled with an increase in the average unit selling price, saw banana segment revenue increased by 4.8%.
In Europe, the Group recorded an 11.3% increase in banana sales compared with 2024. This performance was supported by consistently high product quality, an efficient supply chain, and strict compliance with certification and sustainability standards, further strengthening SIPEF’s European market position.
Plantations J. Eglin continued its expansion towards full operational capacity, with the planted area projected to reach 1 291 hectares. This growth is supported by ongoing infrastructure improvements and further digitalisation of the banana supply chain, planned for 2026. It also strengthened community engagement by delivering a new public primary school at the Azaguié plantation under the Fairtrade programme. The school became operational in October 2025 and was formally handed over to the authorities, with SIPEF continuing to support its maintenance.
Responsible operations
In 2025, SIPEF’s board of directors approved a comprehensive greenhouse gas (GHG) transition plan to deliver the Group’s 2030 emissions reduction targets. The plan is aligned with the Science Based Targets initiative (SBTi) and guided by the GHG Protocol, including its Land Sector and Removals Guidance.
With agriculture accounting for approximately 32% of global GHG emissions and demand for agricultural products rising, SIPEF is investing in circular technologies, regenerative agriculture, and nature-based solutions, reinforcing its position as a responsible and forward-looking industry participant. A central pillar of the plan is the capture and utilisation of methane from palm oil mill effluent (POME). By the end of 2025, five mills were equipped with methane capture facilities, with two new installations under construction and one upgrade in progress, all scheduled for completion in 2026. In December 2025, SIPEF commissioned its first bio-compressed natural gas (bio-CNG) facility at the Perlabian mill to convert recovered methane into renewable energy and replace diesel in industrial applications.
SIPEF continued to uphold its no deforestation, no peat, and no exploitation (NDPE) commitment across all operations in 2025. The Group strengthened social risk management through targeted human rights due diligence initiatives, including baseline assessments, risk management tools, and capacity-building programmes supported by external partners. Engagement with local communities was further strengthened through surveys, consultations, and ongoing dialogue.
Certified supply chains
At year-end, nine out of SIPEF’s ten palm oil mills were RSPO certified, while all banana operations maintained Rainforest Alliance (RA), GlobalG.A.P., and Fairtrade certifications.
In December 2025, SIPEF further strengthened its palm oil strategy by obtaining Halal certification for all Indonesian mills. This supports its broader food safety and quality programme and lays the foundation for Hazard Analysis and Critical Control Point (HACCP) certification, planned for 2028.
To support compliance with the European Union Deforestation Regulation (EUDR) and enhance transparency, SIPEF continues to advance its GeoSIPEF platform, strengthening monitoring across production sites through layered mapping, alert systems, and secure data-sharing capabilities.
Chairman, Luc Bertrand and managing director, Petra Meekers, say SIPEF enters 2026 with confidence and clear priorities. “While operating and geopolitical environments are expected to remain dynamic, the Group remains focused on safe and reliable execution, disciplined investment, and continued progress in quality, traceability, innovation, and responsible growth. Long-term value creation will continue to be guided by performance, resilience, consistency, and trust.”
You can download the full IAR from SIPEF’s website or via the link here below.