Golden Agri

Golden Agri (GGR): 3Q11 results inline, with 9M11 core net profit making up 75% of Bloomberg consensus for the full yr.
Revenue was US$1,562m, +62% yoy, -2.4% qoq.
Headline net profit was US$110m, +10% yoy, -39% qoq.
FFB pdtn was relatively flat (+3% qoq), while CPO prices declines and labor costs were seasonally higher on festival allowances. Goldman notes earnings could have been higher if not for the 34k tons of inventory build, which could have added another US$12m in EBIT.

GGR raised 2011E pdtn guidance, now indicating +15% yoy (prior 10% in 2Q11). The co is already seeing positive impacts of the new Indonesian export tax to refining margins (GGR has 1.38m tons in refining capacity), but did not give guidance.

Goldman does not expect a significant mkt reaction to the results. Keeps Buy with TP $0.84 (from $0.85).
Nomura retains Buy with TP $0.96.
JPM keeps at Neutral with TP $0.65.