ABM becomes operating holding company
Friday, June 28 2013 - 12:12 AM WIB
IDX-listed integrated energy company PT ABM Investama Tbk, obtained shareholders approval on Thursday over its plan to change business course from a non-operating holding company into an operating parent company.
The company said in a statement that this transformation will allow ABM access to other sources of income to finance the operating costs of the company aside from the incomes derived from ABM subsidiaries.
?A shift in ABM?s business, which sees it as an operating parent company, is something we have mulled over for a while. We believed that by establishing a good source of income, we could cover our own operating costs without burdening the company?s subsidiaries,? explained ABM President Director Andi Djajanegara.
The expansion of ABM?s business will be introduced through mining equipment rental business both primary and supporting equipment. Moving forward, the company will continue to expand to other industry. To support these new business activities, ABM plans to add an operating division under the Director of Corporate Strategy.
Andi added, ?We need to emphasize that the change in our business activities will not affect our focus, which is to improve the performance of our subsidiaries. We are optimistic that these changes will have a positive impact on the consolidated earnings of ABM group, and will maximize the company's efforts in enhancing the growth potential of its subsidiaries.?
ABM recorded positive operational performance in 2012, supported by the operational performance of its subsidiaries. Although its net income had slid to US$13.64 million, the synergy of the subsidiaries? performances had driven sales and revenue, raising gross profit to US$172.6 million. ABM?s consolidated revenue grew 17.7 percent to US$886.97 million compared to only US$753.83 million in 2011, proving the success of the company?s integration.
ABM, is an integrated energy company which invests strategically in sectors related to energy such as resources, services and infrastructure. ABM provides integrated energy solution with synergy business focusing on three business units ? which are coal mining, mining contractor services and electrical power solution, supported by two important business components ? which are engineering services and integrated logistics.
Editing by Reiner Simanjuntak