INCO profit falls in 1Q 2001
Friday, May 11 2001 - 04:30 AM WIB
PT International Nickel Indonesia Tbk (Inco) has reported that its net profit for the first quarter of this year dropped by 50 percent to only US$8.9 million from $18.1 million recorded in the same period of last year.
The company attributed the drop in the net profit to the falling nickel prices in the international markets, thus making INCO's profit per share to drop to 4 U.S. cents in the first quarter of this year from 7 U.S. cents in the same period of last year.
"Because of that, the company will be more careful in managing its cash flow because it still has obligations of paying its debts," said INCO president Rumengan Musu.
INCO has short-term debt of US$32.9 million, on top of its short-term debt to its parent company INCO Ltd. of $6.1 million, and interest payment of $16.7 million.
INCO's total debt stands at $500.05 million, of which $421.25 million owned to Japan Exim Bank and $78.8 million to a commercial bank in Canada.
Last year, INCO paid out $80 million for its debts and in the first quarter of this year, the company paid out $40 million for the debt. (*)