AKRA?s H1 net profit up 61%
Tuesday, July 28 2015 - 02:50 PM WIB
The company reported improved margins with gross margin of 11.2 percent, operating margin of 7.7 percent and net margin of 5.9 percent.
Sales and revenues for the 6 months ended June 30, 2015 were Rp 10,273 billion, a 8.75 percent decline from Rp 11,258 billion during the same period last year due to the declining petroleum prices.
Commenting on the results, AKRA President Director, Haryanto Adikoesoemo said ?It is very satisfying for me to report that despite Indonesia?s economic growth slowing down, AKR reported a very strong performance?.
?A 40 percent decline in oil prices year-on-year resulted in lower selling prices for petroleum distribution. AKR could offset this with a growth in petroleum volumes and maintaining/improving margins. Deregulation of petroleum downstream market in Indonesia has resulted in a significant change in market conditions both for industrial and retail consumers and our company is realigning to meet these opportunities? said Haryanto.
?Chemical business is continuing to grow but at a slower pace due to the lowering industrial demand and consumer offtake?.
?Business outlook remains challenging but we anticipate a better second half with increased spending and growth in demand. The focus on infrastructure by Government will be a good driver of demand for petroleum, basic chemicals and industrial estates & utilities?.
Petroleum revenues declined by 15 percent to Rp 7,563 billion during the first six months of 2015 due to the lower selling prices; Sales of basic chemicals segment rose 11 percent to Rp 1.770 billion during the first half of 2015. During the period, the firm booked Rp 128 billion in revenue from the sale of industrial estate lands to customers in Java Integrated Industrial Port Estate (JIIPE).
Editing by Johannes Simbolon