AKRA reports strong profit growth
Thursday, March 19 2020 - 03:19 PM WIB
IDX-listed PT AKR Corporindo Tbk (AKRA), distributor of petroleum, basic chemicals and provider of logistic & supply chain services in Indonesia, reported strong operating profit growth of 17 percent last year at Rp 1,095 billion.
The company said in a statement Wednesday that gross profit increased by 22 percent at Rp 1,892 billion. The company reported core net profit at level of Rp 714 billion, higher thanRp 712 billion in 2018.
|
In Rp bn (Numbers are stated as rounding up figures) |
2019 |
2018 |
|
Sales and Revenues |
21,703 |
23,548 |
|
Gross Profit |
1,892 |
1,555 |
|
Gross margin |
8.7% |
6.6% |
|
Operating Profit |
1,095 |
936 |
|
Operating margin |
5.0% |
4.0% |
|
Other income (expenses) |
(70) |
(46) |
|
Receivable Written Off due to Change in PSO Formula |
(127) |
|
|
Profit from continuing operations before income tax |
899 |
890 |
|
Core Net Profit (after tax and minority) from Continuing Operation |
714 |
712 |
|
Net Margin from continuing operations |
3.3% |
3.0% |
|
Profit from Discontinued Operation |
4 |
933 |
|
Profit for the period attributable to equity holders of the parent entity |
717 |
1,645 |
"We are extremely happy to report the audited financial results for year 2019 with improvement in the gross margins and operating margins; despite the tough economic conditions the company could report a strong performance during the year 2019 with core net profit being maintained,” said AKRA President Director Haryanto Adikoesoemo said.
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“AKR recorded good performance during 4Q19, with gross profit at highest level of Rp607 bn during 4Q19, Trading and distribution segment contributed to this and was supplemented by JIIPE land sales and recognition of lease revenue. The strong Q4 momentum has been carried into Q1 2020. This gives us confidence that we will be able to sustain healthy sales growth in 2020 and maintain profitability and margins.” Said Haryanto.
On the current Covid -19 situation and significant drop in oil prices, Haryanto assured “Our Management is closely monitoring impact of COVID19 to assess the demand slowdown, volatile prices and supply chain disruptions. AKR business model as distributor ensures effective Pass through of Oil and Chemical Price movements and does not carry any inventory loss risks. We have diversified sources of income and strong balance sheet, to minimize downside risks“.
Editing by Reiner Simanjuntak