Adaro Energy reports decrease in net income despite strong sales volume

IDX-listed coal mining group PT Adaro Energy reported on Friday that its first quarter net income fell by 24.8 percent to Rp.861 billion (US$=Rp.9,000) due to softening price and strong Rupiah.

The Company?s revenue decreased by 3.9 percent to Rp.6.28 trillion despite 31 percent increase in sales volume to 11.4 million tonnes.

?We had a good start to the year 2010, tracking and building on the fourth quarter of 2009, as evidenced by our 26% increase in production and 31% increase in sales volumes. We are on track to reaching our targets in 2010,? President Director Garibaldi Thohir said. The Company is expecting to produce 45-46 million tonnes of coal in 2010.

?With our intact capital structure, robust demand outlook for coal, and strong operational performance, we shall continue to focus on growing organically, improving efficiency and vertical integration, and making strategic investments in world-class deposits of Indonesian coals Vice President Director Christian Ariano Rachmat said. (alex)