ANTAM reports 8% increase in sales, unveils 2014 strategy
Thursday, March 6 2014 - 01:10 AM WIB
IDX and ASX-listed state miner PT ANTAM Tbk reported that audited sales last year increased by 8 percent to Rp 11.3 trillion compared to the figure in the previous year despite the weak commodity prices.
The company said in a statement obtained Thursday that the solid sales performance was a result of higher sales volume of gold and nickel ores.
Last year, ANTAM sold 9,391 kg (301,928 oz) of gold, a 34 percent increase over 2012. Meanwhile, nickel ore sales increased by 21 percent over 2012 to 9,711,081 wet metric tons (wmt).
In 2013, Antam?s income for the year attributable to owners of the parent reached Rp410 billion with Earnings per Share (EPS) of Rp43 for full year of 2013, said the company, which is also listed on the ASX.
?As a price taker, our financial performance in 2013 was impacted negatively from lower commodities prices. We have placed cash preservation as our top priority as well as refocusing on key growth projects to optimize the use of our cash position,? said Antam?s President Director Tato Miraza.
?Implementation of cost reduction programs and optimization of operational performance were also our main agenda. Implementation of the cost reduction program also includes the use of cheaper nickel ore feed from the Pomalaa mine and evaluating various contracts with third party vendors and suppliers. Amid the global economic crisis, we are committed to delivering the optimal profitability and return to our shareholders,? he added.
Elsewhere, the company said that as part of Antam?s strategy to anticipate Indonesia?s ore export ban, ANTAM targets a 45 percent higher gold sales to 13,570 kg (436,286 oz) in 2014.
The company also targets ferronickel production of 19,700 tons of nickel contained in ferronickel (TNi) in 2014, a 36 percent increase over 2013 sales.
ANTAM also expects sales of the new Chemical Grade Alumina commodity to commence in 2014, targeting sales of 125,000-130,000 tons of CGA. It also plans to increase coal sales by 307 percent over 2012 to 1.24 million tons.
As part of the company?s efforts to increase gold sales and expand its retail gold market, ANTAM will open an additional 5-10 gold retail outlets in 2014 and optimizing sales from the existing five outlets.
To support the marketing of ferronickel and other commodities, Anta has opened a Representative Office in Shanghai, serving as a marketing representative office for the China region in mid-January 2014. One of the company?s targets also includes the acceleration of the completion of the Pomalaa Ferronickel Plant Expansion Project.
Editing by Reiner Simanjuntak