PTBA?s profit increases despite market slump
Tuesday, March 1 2016 - 05:05 PM WIB
Net profit reached Rp 2.04 trillion as against Rp 2.02 trillion in 2014, while Net Profit Margin (NPM) reached 14.8 percent.
The firm quoted Bloomberg as saying that as of Feb. 17, its NPM reached 17.84 percent, the highest in the national coal industry, while Gross Profit Margin of 30.7 percent and Operating Profit Margin of 22 percent are also the highest in the industry.
The firm ascribed the good financial performance on efficiency measures which was able to cut production costs by 10 percent from Rp 394.78 per ton in 2014 to Rp 356.866 per ton in 2015. Among the efficiency measures are cutting hauling distance and stripping ratio, using power produced from own power plants, adjusting brand marketing to market?s needs, using the service of subsidiaries rather than third parties.
Since the middle of last year, mining activities have been carried out by PT Satria Bahana Sarana (SBS), which was acquired by PTBA through its subsidiary PT Bukti Multi Investama last year.
Revenue increased 6 percent to Rp 13.82 trillion from Rp 13.08 trillion. In terms of volume, sales rose 6 percent to 19.10 million tons from 18.01 million tons, with 53 percent or 10.5 million tons sold on the domestic market, 47 percent on the export market. While the global coal price index dropped 29 percent in 2015, PTBA was able to minimize the impact of the price drop by producing coal brand which met the market demand. PTBA?s weighted price stood at Rp 707.052 per ton in 2015, compared with Rp 723.635 per ton in the previous year.
The increase in sales volume came as a result of the increase in PTBA?s production by 18 percent to 19.28 million tons from 16.36 million tons. Of the volume, 18.57 million tons were produced by the firm in Tanjung Enim, South Sumatra, and the rest by subsidiary PT Internasional Prima Coal in East Kalimantan.
Meanwhile, coal purchasing by subsidiary PT Bukit Asam Prima (BAP) reached 1.46 million tons in 2015, 14 percent drop on the previous year.
Altogether, PTBA?s own production and purchasing in 2015 reached 20.74 million tons, 14 percent higher than 18.17 million tons in the previous year.
For this year, PTBA plans to sell 29.17 million tons, 51 percent higher than realized sale of 19.28 million tons last year. Production and purchasing is projected to reach 28.32 million tons, 37 percent higher than realized production and purchasing of 20.71 million tons in 2015.
Editing by Johannes Simbolon