PTBA to increase coal sales by 30% this year
Thursday, March 16 2017 - 01:18 AM WIB
Petromindo|Khalsa
IDX-listed coal giant PT Bukit Asam Tbk (PTBA) plans to increase coal sales volume this year by 30 percent to 27.3 million tons from 20.76 million tons last year amid rising trend in the price of the commodity.
PTBA President Director Arviyan Arifin said on Wednesday that the domestic market is expected to account for about 58 percent of the sales volume target, or around 15.9 million tons, higher than last year?s 12.27 million tons. The remaining 11.4 million tons will go to the export market, or 34 percent higher than last year?s.
He explained to help meet the sales volume target, coal production and coal purchase from other parties this year will also be increased by 30 percent to 27.1 million tons compared to 20.8 million tons last year. Own coal production will increase by 22 percent to 24.1 million tons from the realized output of 19.62 million tons last year. This year?s output target will include 0.2 million tons expected from its subsidiary PT IPC in Peranap, Riau Province. Subsidiary PT Bukit Asam Prima will increase coal purchase by 152 percent to 3.03 million tons this year.
PTBA said that state-railway company PT KAI will increase coal transport via railway by 22 percent to 21.7 million tons from 14.7 million tons last year. The coal will be transported from the company?s mines in South Sumatra to the Tarahan Port in Lampung (about 18 million tons) and to Kertapati Port (about 3.7 million tons) in Palembang, South Sumatra.
PTBA said that net profit last year reached Rp 2.02 trillion, a slight decline compared to Rp 2.04 trillion in the previous year due to lower average selling price. Net profit margin last year was 14.4 percent, also slightly lower than 14.8 percent in the previous year.
Coal sales volume, however, increased by 9 percent to 20.7 million tons from 19.1 million tons in 2015. Coal production increased by 12 percent to 17.7 million compared to 15.8 million tons in the previous year.
Revenue last year slightly increased to Rp 14.06 trillion from Rp 13.85 trillion in 2015. Average selling price, however, was 4.4 percent lower at Rp 676.013 compared to previous year?s Rp 707,052.
PTBA said that it was focused on selling its lower quality coal brands GAR 4800 and Bukit Asam 5000 amid improvement in their prices and rising demand during the fourth quarter of last year. In contrasts, the company in the previous year was focused on selling higher quality coals such as Bukit Asam 61 and Bukit Asam 64 coal.
Editing by Reiner Simanjuntak