2025 ANNUAL REPORT
CONTENTS GROUP OVERVIEW 2 Our Milestones 4 Geographical Presence 6 Corporate Structure 7 Chairman’s Message 8 CEO’s Message OPERATION AND FINANCIAL REVIEW 10 Group Performance Review 14 Plantation Review 18 Edible Oils and Fats Review SUSTAINABILITY AND GOVERNANCE 22 Sustainability at IndoAgri 26 Board of Directors 30 Corporate Information 31 Corporate Governance FINANCIALS 53 Directors’ Statement 56 Independent Auditor’s Report 61 Consolidated Statement of Comprehensive Income 62 Balance Sheets 64 Consolidated Statement of Changes in Equity 66 Consolidated Cash Flow Statement 68 Notes to the Financial Statements OTHER INFORMATION 160 Interested Person Transactions 161 Estate Locations 163 Statistics of Shareholdings 165 Notice of Annual General Meeting Proxy Form
Indofood Agri Resources Ltd. (IndoAgri) is a vertically integrated agribusiness group with activities spanning the entire supply chain from research and development (R&D), seed breeding, oil palm cultivation and milling, as well as the production and marketing of cooking oil, shortening and margarine. Headquartered in Singapore, we are among the largest palm oil producers in Indonesia. Our branded cooking oil, shortening and margarine products together garner a leading share in the domestic market. As a diversified agribusiness group, IndoAgri also engages in the cultivation of sugar cane, rubber and other crops. OUR VISION To become a leading integrated agribusiness, and one of the world-class agricultural research and seed breeding companies. OUR MISSION To be a low-cost producer, through high yields and cost-effective and efficient operations. To continuously improve our people, processes and technology. To exceed our customers’ expectations, whilst ensuring the highest standards of quality. To recognise our role as responsible and engaged corporate citizens in all our business operations, including sustainable environmental and social practices. To continuously increase stakeholders’ value. OUR VALUES With discipline as the basis of our way of life; we conduct our business with integrity; we treat our stakeholders with respect; and together we unite to strive for excellence and continuous innovation. AT A GLANCE 1 Annual Report 2025 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
OUR MILESTONES 2007 • Reverse takeover and listing on SGX • Acquisition of plantation land in South Sumatra and Kalimantan • Acquisition of 58.8% stake in PT PP London Sumatra Indonesia Tbk (Lonsum) 2008 • Diversification into sugar business with 60% stake in PT Lajuperdana Indah • Acquisition of plantation land in South Sumatra and Central Kalimantan 2011 • Listing of PT SIMP on IDX 2013 • Acquisition of 79.7% interest in PT Mentari Pertiwi Makmur, an industrial timber plantation company • Acquisition of 50.0% stake in Companhia Mineira de Açúcar e Álcool Participações (CMAA), a sugar and ethanol company in Brazil • Formation of FP Natural Resources Limited, a 30:70 JV to invest 34% in Roxas Holdings Inc. (Roxas), an integrated sugar business in the Philippines • 7% of nucleus Crude Palm Oil (CPO) production was Indonesian Sustainable Palm Oil (ISPO)-certified 2009 • Acquisition of plantation land in South Sumatra 2010 • Divestment of 8% stake in Lonsum, of which 3.1% was sold to PT Salim Ivomas Pratama Tbk (PT SIMP) Indofood Agri Resources Ltd. 2 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
2014 • Formation of PT Prima Sarana Mustika, a 40:60 JV for road construction and leasing of heavy equipment • Expansion of sugar business via the acquisition of PT Madusari Lampung Indah 2015 • 24% of nucleus CPO production was ISPO-certified 2016 • Acquisition of PT Pasir Luhur, a tea plantation company • 39% of nucleus CPO production was ISPO-certified 2017 • Formation of PT Indoagri Daitocacao, a 49:51 JV to manufacture and market chocolate products • 57% of nucleus CPO production was ISPO-certified 2018 • Formation of Canápolis Holding S.A. (Canápolis), a 50:50 JV to acquire a second sugar and ethanol mill in Brazil • Acquisition of Vale do Pontal Açucar e Alcool Ltda (UVP), a sugar and ethanol mill operator in Brazil, turning CMAA into a 35:35:30 JV • 62% of nucleus CPO production was ISPO-certified 2019 • Commencement of operations at the newly completed chocolate factory • 71% of nucleus CPO production was ISPO-certified 2020 • Restructuring of sugar operations in Brazil, with IndoAgri owning 36.21% of CMAA and Bússola • 78% of nucleus CPO production was ISPO-certified 2021 • 86% of nucleus CPO production was ISPO-certified 3 Annual Report 2025 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
GEOGRAPHICAL PRESENCE INDONESIA MALAYSIA INDONESIA SINGAPORE RIAU SOUTH SULAWESI JAKARTA CENTRAL JAVA SOUTH SUMATRA WEST JAVA WEST KALIMANTAN CENTRAL KALIMANTAN EAST KALIMANTAN NORTH SUMATRA EAST JAVA SOUTH EAST ASIA NORTH SULAWESI 27 Mills 7.2m Tonnes of FFB Per Year Capacity Palm Oil Mills 5 Refineries 1.9m Capacity Tonnes of CPO Per Year Refineries 2.2m Capacity Tonnes of Cane Crushing Per Year 2 Mills and Refineries Sugar Mills and Refineries IndoAgri owns strategically located estates and production facilities across Indonesia. The Group’s planted area occupies 280,975 hectares. Oil palm is the dominant crop, followed by sugar cane, rubber and other crops. Our plantations are largely located in Sumatra and Kalimantan, while our refineries are mainly sited at major cities including Jakarta, Medan, Surabaya and Bitung. Oil Palm 237,437 Sugar Cane 13,719 Rubber 16,203 Other crops 13,616 Planted Area (Ha) PLANTATION DIVISION EDIBLE OILS AND FATS DIVISION Indofood Agri Resources Ltd. 4 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
3 Mills 9.7m Capacity Tonnes of Cane Crushing Per Year Sugar and Ethanol Mills BRAZIL IndoAgri has 36.21% in CMAA, which operates three sugar and ethanol mills. MINAS GERAIS BRAZIL LEGEND R&D Centre Oil Palm Estate Sugar Cane Estate Rubber Cocoa Refinery Palm Oil Mill Sugar Mill and Refinery Tea Timber Sugar and Ethanol Mill SOUTH AMERICA 5 Annual Report 2025 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
CORPORATE STRUCTURE (As at 31 December 2025) NOTES: • IndoAgri is 74.3% effectively owned by PT Indofood Sukses Makmur Tbk (PT ISM) • Percentage is calculated based on 1,395,904,530 shares (excluding treasury shares of the Company) 36.2% Bússola 73.5% 59.5% Indofood Agri Resources Ltd. 6 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
DEAR SHAREHOLDERS, Amid escalating global tariff disputes and rising protectionism, Indonesia delivered economic growth of around 5% in 2025. This resilience was underpinned by stronger commodity exports and elevated commodity prices, supported by a broad-based recovery across key commodities, including CPO. Challenges of rising youth unemployment, informal sector participation and the global economic slowdown weighed on export demand. Consumer confidence fell to a three-year low, prompting more selective spending. Rising food prices and a weaker Rupiah continued to erode the purchasing power of the lower-income segment. The Central Bank cut interest rates by a cumulative 125 basis points to 4.75% in 2025 to support economic activity. The palm oil industry benefited from limited global supplies and the sustained momentum of Indonesia’s domestic biodiesel programme, which supported higher CPO prices throughout the year. By leveraging our integrated model, we translated these favourable conditions into higher average selling prices and increased sales volumes. The Group delivered an improved performance in 2025, achieving higher revenue and profit. Total revenue increased by 32% to Rp21.1 trillion in 2025 on higher average selling prices and sales volumes. Net profit after tax rose by 19% to Rp2.5 trillion on stronger operating results. As a company, IndoAgri continues to uphold the Code of Corporate Governance while integrating ESG considerations across plantation operations to support long-term sustainability. Our sustainability programmes are guided by established policies and frameworks, with ongoing monitoring and evaluation to ensure alignment with targets. A Sustainability Think Tank, chaired by the CEO, supports the Board in monitoring sustainability issues, managing climate-related risks and overseeing performance. Looking ahead towards 2026, we see a world of both caution and opportunity. Global economic growth is expected to decelerate amid prolonged uncertainties. Emerging and developing economies are expected to outpace advanced economies, while headline inflation is forecast to ease. Downside risks include escalating geopolitical tensions and rising protectionism. Indonesia’s outlook remains positive, with GDP growth projected to exceed 5% on the back of government priority programmes, higher wages, social assistance and sustained high commodity prices. These factors are anticipated to uplift consumer confidence and revitalise household consumption. On behalf of IndoAgri, I would like to express our sincere gratitude to shareholders for their continued trust and support. I also wish to thank my fellow Board members for their guidance, and all IndoAgri staff and management for their dedication and hard work. Your commitment has been fundamental to our achievements and resilience. PHILIP YEO LIAT KOK Chairman and Lead Independent Director The Group delivered an improved performance in 2025, achieving higher revenue and profit. CHAIRMAN’S MESSAGE 7 Annual Report 2025 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
DEAR SHAREHOLDERS, 2025 was a year of growth and resilience for IndoAgri. Despite geopolitical tensions and volatile commodity markets, we strengthened plantation operations and increased our refinery capacity. Our focus on sustainable practices and efficient supply chains kept us competitive and positioned us for future opportunities. Specifically, market conditions were favourable for the palm oil industry. Limited supplies, combined with strong demand from Indonesia’s biodiesel programme, helped lift CPO prices. As a result, domestic CPO prices (KPB) traded 8% higher at an average of Rp14,234 per kg in 2025, while international CPO prices (CIF Rotterdam) rose 15% to an average of USD1,283 per tonne. Palm kernel oil prices followed higher coconut oil prices, leading to a sharp increase in palm kernel prices which had a positive impact on the Group’s revenue and profitability. Sugar performance, on the other hand, was weaker in 2025. Raw sugar prices (NYMEX no. 11) contracted from a high of around 24 US cents per pound in 2024 to 15 US cents per pound by end of 2025 due to higher production in Brazil, India and Thailand, and softer demand. While price fluctuations reflect the cyclical nature of commodities, our expanded sugar crystallisation capacities at CMAA provide flexibility to optimise the sugar-ethanol mix in response to market opportunities. Against this backdrop, the Group delivered an improved set of results in 2025 with higher revenue and profitability. Total revenue grew by 32% to Rp21.1 trillion in 2025, supported by higher average selling prices and increased sales volumes of palm products and edible oils and fats. Net profit after tax improved by 19% to Rp2.5 trillion, reflecting stronger operating performance. The Plantation Division proactively managed its climaterelated risks. Leveraging the World Bank’s climatic forecasts through to 2050, we assessed regional rainfall patterns, updating our projections every six months and allocating capex for flood mitigation in high-risk areas, particularly in Kalimantan. This commitment to longterm planning ensures the resilience and productivity of our plantations, safeguarding FFB output over the 25-year lifecycle of newly planted palms. The same forward-looking approach guides our sugar planting and production decisions in Brazil. The Edible Oils and Fats Division marked an important milestone with capacity expansions and technology upgrades to support downstream growth and regulatory requirements. In November 2025, we completed a third production line at the Tanjung Priok factory in Jakarta, capable of processing up to 450,000 tonnes of CPO per year. SUSTAINABILITY AND SOCIAL RESPONSIBILITY Sustainability remains a core focus across IndoAgri operations, and we continue to uphold our commitment to zero deforestation, zero burning and zero planting on peat, while maintaining nearly 25,000 hectares of CEO’S MESSAGE FFB from our oil palm plantation Indofood Agri Resources Ltd. 8 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
High Conservation Value and High Carbon Stock areas with management and rehabilitation plans in place. We also continued to drive resource efficiency, achieving reductions in water and energy consumption at our mills while sourcing 99% of mill fuel from renewable sources. Our estates, mills and refineries continue to demonstrate responsible sourcing, with 85% of nucleus CPO production satisfying ISPO-certification standards as at 31 December 2025. Over in Brazil, CMAA’s Bonsucro-certified production was 3.7 million tonnes of sugar cane, representing 78% of total own cane production in 2025. Equally important is our commitment to our workforce and local communities. Over the years, we have funded and operated clinics, schools and educational programmes benefitting thousands of community members. Our focus on safety, training and employee welfare remains paramount. 2026 OUTLOOK Looking ahead to 2026, we can continue to expect commodity price volatility which will be impacted by the usual supply and demand drivers, and increasingly extreme weather patterns and geopolitical risks. As a price taker, we will continue to focus on targeted action plans to improve operational outcomes, strengthen cost controls, drive agronomic innovations and prioritise capex in critical areas. With the enhanced refining capacities and advanced technologies in the Edible Oils and Fats Division, our next steps will be to grow sales volumes through competitive pricing, enhance distribution and ensure product availability for Indonesia’s rising consumer and industrial demands. ACKNOWLEDGEMENTS The success of IndoAgri was built on the dedication, expertise and passion of its people and extended networks. I take this opportunity to sincerely thank my fellow Board members, management colleagues and all staff for their hard work and commitment. I am also grateful to our smallholders, business partners and customers for their trust and collaboration. Finally, I extend my appreciation to our shareholders for their continued confidence and support. MARK JULIAN WAKEFORD Chief Executive Officer and Executive Director Loading FFB onto a transportation vehicle 9 Annual Report 2025 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
GROUP PERFORMANCE REVIEW IndoAgri is a vertically integrated agribusiness group and a palm oil producer in Indonesia, with operations spanning from R&D, seed breeding, oil palm cultivation and milling, to the manufacturing and marketing of cooking oils, margarine and shortening. The Group also cultivates sugar cane, rubber and other crops as part of its diversified portfolio. The Plantation Division is IndoAgri’s principal business. In Indonesia, the Division owns 280,975 hectares of planted crops and operates 27 palm oil mills, three crumb rubber processing facilities, two sheet rubber processing facilities, two sugar mills and refineries, and one factory each for the production of tea and cocoa. It also has an investment in three sugar and ethanol mills in Brazil through CMAA. The Group’s Edible Oils and Fats Division owns and operates five refineries across Indonesia to produce a wide range of branded cooking oils, margarine, shortening and specialty fats. FINANCIAL HIGHLIGHTS CPO prices in 2025 were supported by tightened supply and strong demand from Indonesia’s biodiesel programme. Domestic CPO prices (KPB) increased 8% to an average of Rp14,234 per kg, while international CPO prices (CIF Rotterdam) rose 15% to USD 1,283 per tonne. Higher coconut oil prices supported palm kernel’s competitiveness, and the rise in palm kernel prices contributed to the Group’s results. In contrast, raw sugar prices (NYMEX No. 11) declined from a peak of 24 US cents per pound in 2024 to about 15 US cents per pound by the end of 2025, driven by higher production in Brazil, India and Thailand, as well as softer demand. Our sugar operations in Brazil were impacted by weaker raw sugar prices. The Group delivered an improved set of results with higher revenue and profit. Total revenue increased 32% mainly due to higher revenue recorded by both Plantation and Edible Oils and Fats Divisions on higher average selling prices and sales volumes. Gross profit improved 13% on stronger revenue, but this was partially offset by higher production costs. Net profit after tax improved 19% to Rp2.5 trillion on higher gross profit and lower other operating expenses arising from lower impairment and write-off of property, plant and equipment, and lower provision for plasma receivables. This was partly offset by increased selling and general administrative expenses, lower other operating Revenue (Rp trillion) Net Profit to Owners of the Company (Rp trillion) Profit from Operations (Rp trillion) NAV per share (Rp) 21.1 16.0 16.0 2025 2024 2023 0.6 2025 2024 2023 3.7 3.2 1.9 2025 2024 2023 2025 2024 2023 1.3 11,176 10,242 9,703 1.1 Indofood Agri Resources Ltd. 10 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
The Group recorded net current assets of Rp3.3 trillion as at 31 December 2025, compared to Rp4.5 trillion in the previous year-end. The Group’s financial position remained positive, supported by higher cash levels in Lonsum. The Group’s net debt-to-equity ratio improved, decreasing from 0.07 times in the prior year to 0.02 times as at 31 December 2025. CASH FLOWS The Group reported higher net operating cash flows of Rp3.4 trillion in 2025, compared to Rp2.2 trillion in 2024, due to improved operating results and working capital. In 2025, the Group recorded an 8% increase in investing activities to Rp1.5 trillion, primarily driven by higher additions to property, plant and equipment and biological assets, as well as the absence of dividends from a joint venture. In terms of financing activities, the Group recorded a net cash inflow of Rp0.7 trillion in 2025, compared to a cash usage of Rp0.1 trillion in 2024. This was mainly due to drawdowns of loan facilities, partly offset by advance payment for a land lease renewal and higher dividend payment. As of 31 December 2025, the Group’s cash levels increased to Rp8.6 trillion from Rp5.9 trillion a year ago, mainly due to positive operating free cash flows. income, reduced contribution from joint ventures due to weaker operating results, loss arising from changes in fair value of biological assets, and increased income tax expenses in line with higher profit. FINANCIAL POSITION As at 31 December 2025, the Group reported total noncurrent assets of Rp27.9 trillion, compared to Rp25.7 trillion as at 31 December 2024. The increase was mainly due to higher right-of-use assets arising from the renewal of a land lease for a refinery, and increased advances for projects and forestry administrative charges, which were deferred pending the outcome of an appeal. This was partly offset by depreciation and write-off of property, plant and equipment, as well as lower plasma receivables. The Group’s total current assets stood at Rp15.4 trillion as at 31 December 2025, up from Rp13.4 trillion as at 31 December 2024. The increase was driven by increases in trade and other receivables and cash levels. This was partly offset by lower CPO inventories and finished products in the Edible Oils and Fats Division, along with decreases in advances for raw material purchases, prepaid taxes and biological assets. As at 31 December 2025, the Group’s total liabilities increased 12% to Rp14.8 trillion mainly due to higher interest-bearing loans and borrowings, trade and other payables and lease liabilities. This was partly offset by lower amounts due to related parties and deferred tax liabilities. Field officer recording FFB harvest data at Kencana Estate 11 Annual Report 2025 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
GROUP PERFORMANCE REVIEW FINANCIAL HIGHLIGHTS In Rp billion In SGD million* For the financial year ended 31 December 2023 2024 2025 2023 2024 2025 Revenue 16,003 15,968 21,057 1,269 1,266 1,670 Gross profit 3,282 4,765 5,396 260 378 428 Gain/(loss) arising from changes in fair value of biological assets 13 318 (135) 1 25 (11) Profit from operations 1,948 3,239 3,699 154 257 293 Profit after tax 936 2,110 2,514 74 167 199 Profit attributable to owners of the Company 614 1,119 1,270 49 89 101 EPS (in Rp)/(in SGD‘cents) 440 801 910 3.5 6.4 7.2 Current assets 9,944 13,410 15,390 761 1,026 1,178 Fixed assets 17,582 16,404 16,111 1,345 1,255 1,233 Other non-current assets 9,592 9,316 11,767 734 713 900 Total assets 37,118 39,130 43,268 2,840 2,994 3,311 Current liabilities 9,582 8,933 12,090 733 684 925 Non-current liabilities 3,620 4,334 2,725 277 332 209 Total liabilities 13,202 13,267 14,815 1,010 1,015 1,134 Shareholders' equity 13,545 14,298 15,601 1,036 1,094 1,194 Total equity 23,916 25,863 28,453 1,830 1,979 2,177 Total debt 7,796 7,771 9,201 597 595 704 Cash 5,226 5,946 8,573 400 455 656 For the financial year ended 31 December 2023 2024 2025 Sales growth (10.1%) (0.2%) 31.9% Gross profit margin 20.5% 29.8% 25.6% Profit from operations margin 12.2% 20.3% 17.6% Profit after tax margin 5.8% 13.2% 11.9% Profit attributable to owners of the Company margin 3.8% 7.0% 6.0% Return on assets1 5.2% 8.3% 8.5% Return on equity2 4.5% 7.8% 8.1% Current ratio (times) 1.0 1.5 1.3 Net debt to equity ratio (times)3 0.11 0.07 0.02 Total debt to total assets ratio (times) 0.21 0.20 0.21 1 Profit from operations divided by total assets 2 Profit attributable to owners of the Company divided by shareholders’ equity 3 Net debt divided by total equity * For ease of reference, 2023 to 2025 Income Statement and Balance Sheet items are converted at exchange rates of Rp12,611/SGD1 and Rp13,069/SGD1, respectively Indofood Agri Resources Ltd. 12 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
OPERATIONAL HIGHLIGHTS The table below relates to business operations in Indonesia. For the operation in Brazil, please refer to page 16 of this annual report. In Hectares (unless otherwise stated) 2023 2024 2025 Planted Area – Nucleus Oil Palm 244,337 241,208 237,437 Mature 220,531 220,318 221,459 Immature 23,806 20,890 15,978 Rubber 16,238 16,231 16,203 Mature 14,195 14,544 14,878 Immature 2,043 1,687 1,325 Sugar Cane 13,384 13,583 13,719 Others 19,470 17,627 13,616 Mature 16,252 14,782 11,967 Immature 3,218 2,845 1,649 Total 293,429 288,649 280,975 Planted Area – Plasma Oil Palm and Rubber 90,867 91,523 91,352 Planted Area by Location – Nucleus Riau 56,175 56,172 54,054 North Sumatra 36,903 37,228 38,172 South Sumatra 94,532 95,014 93,843 West Kalimantan 24,675 21,722 20,438 East Kalimantan 61,640 58,851 54,829 Central Kalimantan 10,841 10,965 10,966 Java 3,177 3,217 3,212 Sulawesi 5,486 5,480 5,461 Total 293,429 288,649 280,975 Production Volume (’000 tonnes) Total FFB 3,632 3,645 3,725 FFB – Nucleus 2,784 2,758 2,714 CPO 708 706 733 Palm Kernel (PK) 175 167 166 Rubber 4.7 4.8 4.5 Sugar1 58 54 79 Sales Volume (’000 tonnes) CPO2 743 690 724 PK and PK Related Products3 184 159 170 Rubber 5.1 4.6 4.5 Sugar 55 53 72 Oil Palm Seeds (million units) 9.7 10.4 11.1 1 Comprised sugar production in South Sumatra and share of sugar produced in Central Java 2 Sales to external and internal parties 3 Comprised PK, Palm Kernel Oil (PKO) and Palm Kernel Expeller (PKE) 13 Annual Report 2025 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
Fertiliser application at Begerpang Estate PLANTATION REVIEW Operation in Indonesia The Plantation Division manages the cultivation, production and sale of CPO, PK and related products, crumb and sheet rubber, sugar, tea, cocoa and other products, mainly for domestic consumption. The nucleus oil palm estates span 237,437 hectares across Indonesia, of which 7% are immature. FFBs are harvested and processed by 27 mills across our estates, with a total annual capacity of 7.2 million tonnes. The nucleus rubber estates occupy 16,203 hectares in North and South Sumatra and Sulawesi, of which 8% are immature. Rubber is processed at three crumb rubber and two sheet rubber facilities. The oil palm and rubber plasma partnerships account for 91,352 hectares. The sugar estates in Indonesia span 13,719 hectares. Harvested cane is processed at an 8,000 tonnes of cane per day (TCD) sugar mill and refinery in South Sumatra, and a 4,000 TCD sugar mill and refinery in Central Java. The Division also operates 13,616 hectares of other crops, with one factory each for the production of tea and cocoa. 2025 REVIEW The Plantation Division recorded a 2% decrease in FFB nucleus production to 2,714,000 tonnes, while CPO production rose 4% to 733,000 tonnes, driven mainly by higher FFB purchases from external parties. CPO prices in 2025 benefited from tighter supply and firm demand from Indonesia’s biodiesel programme, with higher PK prices following the lead of increased coconut oil prices. Consequently, the Division’s revenue rose by 21%, mainly due to higher average selling prices and sales volumes of palm products. The Division reported higher segment operating profit of Rp2,966 billion in 2025, compared to Rp2,772 billion FFB Production (Nucleus) (’000 tonnes) CPO Production (’000 tonnes) 733 706 708 2025 2024 2023 2025 2024 2023 2,714 2,758 2,784 Indofood Agri Resources Ltd. 14 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
Oil palm plantation at Kayangan Estate Our sugar cane plantation in South Sumatra produced 70,900 tonnes of sugar in 2025. In Central Java, our factory produced 29,100 tonnes of sugar, with 7,600 tonnes belonging to the Division and the balance belonging to the farmers who supplied the cane. 2026 OUTLOOK Amid uncertainties in weather patterns and geopolitical developments, commodity prices are expected to remain highly volatile, while global demand growth may be constrained by weaker economic conditions and challenging macroeconomic factors. Given these conditions, the Plantation Division will continue to focus on enhancing operational performance, strengthening cost management, implementing innovations to boost plantation productivity, and prioritising capital investments in key areas. in 2024. The increase was mainly attributable to higher gross profit and lower other operating expenses arising from lower impairment and write-off of property, plant and equipment, and lower provision for plasma projects. This was partly offset by losses from changes in the fair value of biological assets. Productivity and cost efficiency initiatives remained a key priority, with efforts focused on critical infrastructure, enhanced fertiliser application through nutrient analysis, preventive maintenance strategies, mechanisation programmes and usage of renewable energy sources. Following the adoption of the TCFD framework, we continued refining our ERM approach and risk assessment matrix, with targeted investments in critical areas. In addition to mitigating climate risks, we are enhancing energy conservation and sustainable resource management. We remain fully committed to our sustainability and ESG goals, diligently tracking the material issues and ensuring the proper execution of sustainability programmes. During the year, the Group’s ISPO-certified production stood at 480,000 tonnes, or 85% of total nucleus CPO production. 15 Annual Report 2025 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
The Plantation Division’s sugar and ethanol operations in Brazil are held and managed through IndoAgri’s 36.21% stake in CMAA and Bússola. CMAA operates three sugar and ethanol mills in Brazil with a combined annual sugar cane crushing capacity of 9.7 million tonnes, whereas Bússola owns agricultural land. 2025 REVIEW Raw sugar prices (NYMEX No. 11) declined from a peak of 24 US cents per pound in 2024 to about 15 US cents per pound by the end of 2025, driven by higher production in Brazil, India and Thailand, as well as softer demand. Our sugar operations in Brazil were impacted by weaker raw sugar prices. In 2025, CMAA crushed 8.3 million tonnes of sugar cane, compared to 9.3 million tonnes in the previous season, producing 682,000 tonnes of raw sugar, 266,000 m3 of ethanol and 378,000 MWh of electricity. The Group recognised higher losses from joint ventures losses of Rp178 billion, compared to a profit of Rp44 billion in 2024. The decline was mainly attributable to lower crushing volume following severe drought conditions in the previous year, leading to reduced raw sugar output. Performance was also affected by lower raw sugar prices, higher fair value losses on biological assets, and higher finance expenses. CMAA’s Bonsucro-certified production was 3.7 million tonnes of sugar cane, accounting for 78% of total cane production in 2025. 2026 OUTLOOK Global sugar prices are expected to be influenced by crop prospects and production in Brazil, shaped by ethanol parity, crude oil prices, the country’s biofuel policy (RenovaBio), and movements in the Brazilian Real. Prices will also be affected by developments in other key producing regions, particularly India, including potential sugar subsidies, export volumes and biofuel policy. Amid the challenging economic environment and elevated interest rates in Brazil, we will continue to focus on optimising the sugar-ethanol production mix to maximise profitability. CMAA’s UVT sugar and ethanol mill in Brazil PLANTATION REVIEW Operation in Brazil Indofood Agri Resources Ltd. 16 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
PLANTATION REVIEW R&D in Indonesia The Plantation Division operates two oil palm R&D centres – SumBio in Bah Lias, North Sumatra, and PT SAIN in Pekanbaru, Riau. Both centres are certified palm seed producers, widely recognised for superior, high-yielding, drought-tolerant and disease-resistant seeds. Our experienced agronomists and researchers conduct extensive field work on crop yields, crop resilience, pest and disease control and estate management. Additionally, the Division operates an R&D facility for sugar cane in South Sumatra. Beyond these activities, the R&D centres are responsible for driving sustainable land use and IndoAgri’s long-term competitiveness through various innovations. These include block-based farming and soil conservation using Vetiver systems, recycling of by-products like Empty Fruit Bunches and Palm Oil Mill Effluent into soil mulch and nutrient substitutes, and natural pest management strategies to reduce chemical reliance. 2025 REVIEW In 2025, we continued our crossbreeding programmes focusing on high-yielding seed varieties with unique traits. Key achievements included identifying a potential Ganoderma resistance marker and developing a molecular marker to differentiate virescens and nigrescens fruit types. We also continued observing and introducing tenera clones of palm seeds, which combine virescens traits with long stalks to improve harvesting efficiency. Aside from supplying seeds for internal planting, the Division sold 11.1 million oil palm seeds in 2025, a 7% year-on-year increase. To ensure quality, SumBio utilised DNA analysis for random seed checks and ultraviolet markers for authentication. Cultivation methods were enhanced through several biological and technological advancements to improve productivity and cost efficiency, supported by regular spatiotemporal analyses. These included: Fertiliser efficiency: We refined the fertiliser mix by incorporating compost and applying controlled-release fertilisers on immature oil palms. Drone technology: We introduced drone sprayers for controlling leaf-eating caterpillars, and integrated Geographic Information System (GIS) and Global Positioning System (GPS) data for real-time field monitoring. Biological controls: We reduced chemical pesticide use by establishing ecosystems of natural predators and using entomo-pathogenic agents (fungi, bacteria and viruses) as biopesticides, along with ultraviolet light traps. For the sugar plantations in Indonesia, we continued to cultivate high-yield cane varieties, and integrated drones for ripening to boost productivity and cost efficiency. 2026 OUTLOOK We will continue refining our seed-cultivation techniques and proven agronomic practices to enhance crop management and optimise planting densities. We will also continue our development of in-house capabilities for Ganoderma marker analysis and pursue strategic R&D collaborations with universities and research institutions. On the digital front, we will integrate our soil hydrology data, satellite imagery and 3D topographic maps with WebGIS to support remote decision-making. By computing precise fertiliser requirements and yield predictions on a block-by-block basis, WebGIS will lower ground-sampling costs. We will further incorporate WebGIS into our SAP system, leveraging data analytics and machine learning to optimise yields and reduce production costs. Lab activity at Bah Lias Research Station 17 Annual Report 2025 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
EDIBLE OILS AND FATS REVIEW Operation in Indonesia Cooking with PALMIA Margarine Indofood Agri Resources Ltd. 18 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
19 Annual Report 2025 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
New production line at Tanjung Priok refinery EDIBLE OILS AND FATS REVIEW Operation in Indonesia The Edible Oils and Fats Division produces palm oil products, margarine and palm-based derivatives (RBD palm stearin and palm fatty acid distillate) for consumer and industrial markets. The Division operates five refineries with a total annual CPO processing capacity of 1.9 million tonnes. The consumer cooking oils are retailed under the Bimoli, Bimoli Spesial and Happy brands, while margarines are sold under Amanda, Palmia and Royal Palmia. The industrial cooking oils are supplied directly to Indofood and other food manufacturers, while margarine and shortening products are marketed to confectioneries, bakeries and food manufacturers under the Amanda, Delima, Malinda, Palmia and Simas brands. Sales and distribution activities are supported by Indofood’s Distribution Group, which has an extensive network across Indonesia. Around 93% of our edible oils and fats products are sold domestically, with the rest exported to countries across Asia, Africa, America and the Middle East. 2025 REVIEW The Edible Oils and Fats Division remained profitable by boosting sales volumes of cooking oils and margarines to meet domestic demand. We implemented competitive pricing strategies and regular price adjustments while simultaneously ramping up advertising and promotions to drive sales volumes. The Division’s revenue rose by 22% to Rp15.0 trillion, driven mainly by higher sales volumes and average selling prices. Despite gross profit increased 4% on higher sales, Operating profit declined to Rp767 billion in 2025 from Rp817 billion in the prior year mainly due to the absence of income from the sale of export allocation rights. IndoAgri’s vertically integrated business model remained a cornerstone of our performance, ensuring a stable supply of raw materials. In 2025, our own plantations supplied 76% of the CPO used in our cooking oils, margarine and shortening. To support future growth, we expanded the Tanjung Priok refinery by adding a third production line with an annual capacity of 450,000 tonnes. Following its completion in 2025, our total annual CPO processing capacity reached 1.9 million tonnes. To capitalise on the expanded production capacity and maintain market leadership, we executed a series of marketing activities throughout 2025. The marketing campaign for cooking oils was focused on the theme “Bimoli, Bringing Perfection to Your Joy”, designed to reinforce brand presence through a mix of digital and physical touchpoints. Highlights included the “Rekreasi Viral Bimoli” digital activation as well as on-ground engagements at Jakarta Fair Kemayoran and “Serbu Pasar” roadshows. The margarine segment was driven by the “Palmia, The Heart of Every Dish” campaign, supported by new TV commercial production and placements and a dedicated “Dapur Inspirasi Ramadan Palmia” festive TV filler. Below the line, the Division engaged the culinary community through the Jakarta Fair Kemayoran as well as roadshows and baking demos, in addition to professional exhibitions like SIAL Interfood 2025. The R&D team supported the Edible Oils and Fats Division by enhancing the nutritional content of cooking oils and margarines to better meet the dietary needs of Indonesian consumers. Notable achievements included tailored cooking oil formulations for industrial users, multivitaminenriched margarines for households, and the innovation of smarter packaging designs using more environmentally friendly materials. 2026 OUTLOOK We will continue to focus on driving the growth of edible oils and fats sales volumes by maintaining competitive pricing against our main competitors and continuing with TVC placements. We will also improve distribution coverage to ensure consistent product availability across our markets. To further strengthen the Bimoli brand leadership, we will increase in-store product visibility. Additionally, we plan to refresh packaging designs for consumer margarine. Indofood Agri Resources Ltd. 20 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
Shortening Margarine Packaging Packaging Chilling Chilling Nitrogen Gas Mixing Tank Mixing Tank Water and Salt Blending Blending Flavouring and Vitamins Cooking Oil Margarine and Shortening Plant RBD Palm Stearin RBD Palm Olein Packaging Lauric Oil Fractionating and Filtration RBD Palm Oil Palm Kernel Oil Palm Fatty Acid Distillate Refining Crushing Palm Kernel Expeller Crude Palm Oil Palm Kernel Milling Empty Fruit Bunches and Effluent MANUFACTURING OF EDIBLE OILS AND FATS PRODUCTS Fresh Fruit Bunches 21 Annual Report 2025 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
SUSTAINABILITY AT INDOAGRI IndoAgri remains committed to sustainable business practices. As a plantation company, we recognise our responsibility to actively address ESG risk factors while meeting global demand for sustainable palm oil. Our focus on sustainable operations is driven by R&D, continuous innovation and productivity enhancements. We also prioritise employee safety and well-being, and provide meaningful livelihoods for local communities through employment, responsible land management and economic contributions. Our Sustainable Agriculture Policy guides our operations and ensures traceable produce. The key policy commitments are as follows: • No deforestation; conservation of High Conservation Value and High Carbon Stock areas. • No planting on peat regardless of depth. • No burning. • Respect for Labour and Human Rights, including Freedom of Association and non-discrimination. • Free Prior and Informed Consent (FPIC). Recognising the agribusiness sector’s vulnerability to climate change, we have aligned our disclosures with the TCFD recommendations since 2022. We are also transitioning toward the IFRS S2 Climate‑related Disclosures issued by the International Sustainability Standards Board. This ensures that we remain on track to meet the SGX’s revised timeline for mandatory climate reporting for non‑STI constituent listed companies. In 2023, we strengthened our ERM framework by incorporating climate‑related physical and transition risks. Through close collaboration between our ERM, research, sustainability and operations teams, we developed a comprehensive risk assessment matrix that evaluates both financial and operational impacts. Our risk management strategy draws on quarterly data regarding incidents, weather patterns, hotspots and infrastructure. These insights have enhanced our ability to identify, assess, manage and monitor climate‑related challenges such as flooding, water shortages and fires. Notably, these efforts have contributed to a significant reduction in fire incidents. SUSTAINABILITY UPDATES FOR 2025 Certified CPO in Indonesia • 480,000 tonnes of ISPO-certified CPO, representing 85% of total nucleus CPO production. Certified Sugar Cane in Brazil • 3.7 million tonnes of Bonsucro-certified production, representing 78% of CMAA’s own sugar cane production. Pig-tailed macaque (Macaca nemestrina), one of the remarkable biodiversity treasures found in Sungai Bangko Estate, Rokan Hilir, Riau Indofood Agri Resources Ltd. 22 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
Our Rumah Pintar in Nanga SIlat Estate, Kapuas Hulu, West Kalimantan Occupational Health and Safety • Zero paraquat use since 2018. • 100% of sites certified to SMK3 occupational health and safety (OHS) management system, with 60 sites achieving the SMK3 Gold award. • 7 sites with zero accident awards from the Ministry of Labour. • 2% decrease in recordable work-related injuries. • Two work-related fatalities (both in oil palm operations). Worker Welfare • Compliance with minimum wage and employment contract regulations for full-time and seasonal workers; and • No registered worker below 18 years of age. Energy and Water Consumption (2020 baseline) • 5% reduction in energy intensity in mills. • 20% increase in energy intensity in refineries. • 4% reduction in water intensity in mills. • 27% increase in water intensity in refineries. • 98% of fuel used in mills from renewable sources. • 100% of milling waste reused by estates and mills. Smallholders • Four KUDs with ISPO certification. SUSTAINABILITY TARGETS • Palm oil estates and mills: Commit to achieve 100% ISPO certification, in alignment with the Government Regulations. • Palm oil refineries: Source all CPO supplies in accordance with our Sustainable Agriculture Policy and ensure that 100% of CPO processed is traceable to mills. • Zero fatality. SUSTAINABILITY MANAGEMENT Our Sustainable Agriculture Policy applies to all operational units, including plasma smallholders and third-party CPO suppliers. It outlines our strategies for accountable and traceable supply chains, human rights, prevention of deforestation, ESG risk assessment and management, and stakeholder engagement. Our Labour Policy further protects the rights of everyone working in and living around our estates. This policy covers all employees, including plasma smallholders and third-party suppliers to our factories and refineries. All suppliers are encouraged to adopt similar commitments within their own operations to align with our policy standards. 23 Annual Report 2025 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
SUSTAINABILITY AT INDOAGRI We manage our ESG risks and opportunities through staff training, robust business processes, a culture of accountability and community partnerships. Commitment Our sustainability team comprises well-trained professionals who manage our material sustainability topics and impacts in accordance with the Group’s mission and values. Planning Our ERM framework, rigorous corporate governance and established internal controls provide additional lines of defence against broader risks and uncertainties. We leverage R&D to innovate and achieve sustainable growth in our domestic and international markets. Action Our local teams implement and enforce our sustainability policies, commitments and programmes. We use management systems and standard operating procedures to maintain quality and drive improvements in areas such as R&D, workplace health and safety, food safety, environmental management and information control. Six distinct, policy-aligned Sustainability Programmes direct our efforts across 15 material topics and support our contributions toward 16 UN SDGs. In addition, the sustainability team coordinates initiatives underlying the achievement of certifications such as ISPO and PROPER. Assessment and reporting Our SAP system and sustainability information system are used to collate data and monitor progress against the key sustainability targets. We evaluate performance through regular audits, trend analysis and stakeholder feedback. SUSTAINABILITY GOVERNANCE IndoAgri’s Board of Directors actively reviews the Group’s sustainability risks, opportunities, material ESG topics, and management and reporting processes. The Audit and Risk Management Committee provides the Board with quarterly updates on relevant sustainability concerns. The CEO steers the Group’s sustainability performance and personally oversees all related discussions and correspondences. The CEO is supported by the management team, ERM unit, R&D team and sustainability representatives from all business units. The Group’s commitments and procedures regarding deforestation, land rights, peatland, burning, smallholders and human rights are benchmarked against the ISPO certification standards and international best practices. These are also covered in our Sustainable Agriculture and Labour Policies. ISPO is a mandatory and legally binding certification for all oil palm growers in Indonesia. SUSTAINABILITY MANAGEMENT ASSESSMENT • Indicators • Targets • Evaluation through audit • Materiality review COMMITMENT • Mission • Code of conduct • Policies • Values PLANNING • Government policy • Corporate business system • Sustainability Programmes REPORTING • Annual Report • Sustainability Report • Website ACTION • R&D • Management systems • Certifications • Stakeholders engagement • Internal collaboration • Training A SYSTEMATIC APPROACH Indofood Agri Resources Ltd. 24 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
MATERIAL SUSTAINABILITY TOPICS Our sustainability strategy draws directly from 15 material topics, which we identified, prioritised and validated through a comprehensive materiality assessment conducted in 2024. The exercise involved a three‑stage review process, i.e. benchmarking our initial material topics against peers and industry standards to identify emerging trends, engaging with stakeholders and securing final validation from our Sustainability Think Tank (STT) and the Board. 1. protection of forests, peatlands and biodiversity; 2. fire control and haze prevention; 3. climate change and GHG emissions; 4. energy management; 5. water, waste and effluents; 6. use of fertilisers, pesticides and chemicals; 7. responsible business conduct; 8. community rights and relations; 9. occupational health and safety; 10. smallholder engagement and livelihoods; 11. supply chain traceability and transparency; 12. sustainability certification; 13. product quality and safety; 14. yield resilience and innovation; and 15. human, child and labour rights. STAKEHOLDER ENGAGEMENT Regular stakeholder dialogues are crucial to our Sustainable Agriculture Policy and our commitment to sustainable palm oil production. We connect, engage and collaborate with our key stakeholders (employees, customers, investors, government and civil organisations and local communities) through various platforms to strengthen mutual interests and establish common goals. To ensure product safety, we conduct production audits. We also engage with customers through public seminars and customer satisfaction surveys. As part of the ISPO certification process, we maintain regular contact with suppliers, customers, grower cooperatives and government ministries. As our agribusiness operations are vital to the livelihoods of many who live near our plantations, we aim to advance community resilience and socio-economic development. We uphold FPIC, particularly regarding land acquisition, by conducting Social Impact Assessments to understand community needs before initiating new projects. We also promote open negotiation and inclusive decisionmaking with local communities. These efforts come under our Solidarity Programme, which encompasses initiatives in fire-control awareness, education, health, infrastructure development, micro-enterprise support, farmer training, culture preservation and humanitarian efforts. For full details of our management approach, materiality assessment, stakeholder engagement, sustainability programmes and performance, please download our latest Sustainability Report at: http://www.indofoodagri.com/sustainability-home.html Rufous-backed Kingfisher (Ceyx erithaca) at Kencana Estate, Rokan Hilir, Riau. A vibrant symbol of wetland biodiversity thriving within the plantation landscape. 25 Annual Report 2025 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
BOARD OF DIRECTORS Sitting from left to right: Standing from left to right: MR GOH KIAN CHEE Non-Executive Director MR ANDREAS TAN Independent Director MR TJHIE TJE FIE Non-Executive Director MR MARK JULIAN WAKEFORD Chief Executive Officer and Executive Director MR AXTON SALIM Non-Executive Director MR MOLEONOTO TJANG Executive Director and Head of Finance and Corporate Services DAVID SUNGKORO Independent Director MR SUAIMI SURIADY Executive Director and Head of Edible Oils and Fats Division MR PHILIP YEO LIAT KOK Chairman and Lead Independent Director Indofood Agri Resources Ltd. 26 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
MR PHILIP YEO LIAT KOK Chairman and Lead Independent Director Mr Yeo has more than 40 years of public sector experience, having held various leadership and senior roles that included Executive Chairman of the Economic Development Board; Executive Chairman of A*Star (Agency for Science, Technology and Research); Special Advisor for Economic Development (Prime Minister’s Office); and Chairman of SPRING (Standards, Productivity and Innovation for Growth) Singapore. He was awarded the Public Administration Medal (Silver) in 1974; the Public Administration Medal (Gold) in 1982; the Meritorious Service Medal in 1991; and the Order of Nila Utama (First Class), Singapore’s most prestigious National Day award, in 2006. He was also the recipient of the Indonesian Government’s highest civilian honour, the Bintang Jana Tama (the First Class Order of Service Award) in 1994 in recognition of his role in fostering good bilateral ties between Indonesia and Singapore; the Government of Japan’s Order of the Rising Sun, Gold and Silver Star in 2007; and the Distinguished Service (Star) award from the Singapore Labour Movement, National Trades Union Congress, in 2008. Mr Yeo is currently Chairman of Economic Development Innovations Singapore Pte. Ltd., an investment firm providing advisory services; Accuron Technologies Limited, a Singapore-based precision engineering and technology company; and Advanced MedTech Holdings, a global medical technology leader in urology devices and services. Mr Yeo is also an Independent Director of Sunway Berhad, and Deputy Chairman of QAF Limited, which are listed on Bursa Malaysia and Singapore Exchange Securities Trading Limited (“SGX-ST”) respectively. Mr Yeo holds a Bachelor of Applied Science (Industrial Engineering) and an Honorary Doctorate in Engineering from the University of Toronto, Canada; an Honorary Doctorate in Medicine from the Karolinska Institutet, Sweden; a Master of Science (Systems Engineering) from the University of Singapore; a Master of Business Administration from Harvard University, USA; an Honorary Doctorate of Science from Imperial College, London; an Honorary Doctorate of Letters from National University of Singapore; an Honorary Doctorate of Law from Monash University of Australia; and an Honorary Doctorate of Letters from Nanyang Technological University. He is also an Honorary Fellow of King’s College, London. MR MARK JULIAN WAKEFORD Chief Executive Officer and Executive Director Mr Wakeford is a Director of PT Indofood CBP Sukses Makmur Tbk and the Head of Indofood Group’s Investor Relations Division. He is concurrently the Director of PT SIMP, PT Lajuperdana Indah and CMAA. He started his career with Kingston Smith & Co, a Chartered Accounting firm in London, England. Mr Wakeford has been in the plantation industry since 1993, working with plantation companies in Indonesia, Papua New Guinea, Soloman Islands and Thailand. He started his plantation career in Indonesia as the Finance Director of Lonsum in 1993, before moving to Papua New Guinea as the CFO of Pacific Rim Plantations Limited (PRPOL) from 1995 to 1999. In 1999, Mr Wakeford became CEO and Executive Director of PRPOL. PRPOL was sold to Cargill in 2005, Mr Wakeford spent one year with Cargill, before joining the Company in January 2007. He became CEO of the Company in August 2007. Mr Wakeford was trained and qualified as a Chartered Accountant in London, England. He also attended the Senior Executive Programme at the London Business School. 27 Annual Report 2025 Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance
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