United Tractors? Q1 profit up 40%
Monday, April 28 2014 - 11:49 AM WIB
IDX-listed heavy equipment distributor and coal mining firm PT United Tractors (UT) announced on Monday that its net revenue attributable to equity holders or net profit rose 40 percent to Rp 1.58 trillion in the first quarter of the year, as compared to the corresponding period of last year, despite the continued slowdown in the coal market.
Sales rose 12 percent to Rp 13.09 trillion with Construction Machine, Mining Service and Mining business units contributing 32 percent, 58 percent and 10 percent respectively to the sales.
Gross profit rose 35 percent to Rp 2.81 trillion from Rp 2.08 trillion, while income before tax rose 37 percent to Rp 2.07 percent.
The firm managed to sell 1,211 units of Komatsu heavy equipment in the first quarter of the year, down 5 percent over the same period of last year due to the weak demand from the mining and plantation sectors. Of the 1,211 sold units, 36 percent was absorbed by the mining sector, 19 percent by the plantation sector, and the remaining 15 percent by the forestry sector.
Despite the tough competition, Komatsu maintained its status of market leader with a market share of 42 percent in the first quarter of the year, according to the firm?s internal market survey.
Sales of spare parts and heavy equipment maintenance fee reached Rp 1.41 trillion, up 15 percent. Thanks to the depreciation of the rupiah against the dollar and the increased revenue from after sales service, the firm?s Construction Machine business unit managed to increase its net profit by 6 percent to Rp 4.43 trillion.
Sales of products of the other brand, namely UD truck (previously called Nissan Diesel) dropped to 52 units from 138 units, while the sales of Scania truck decreased to 120 units from 123 units.
Meanwhile, the firm?s mining service unit, PT Pamapersada Nusantara (PAMA) booked sales of Rp 8.95 trillion, up 14 percent. Coal production volume rose to 30.7 million tons, from 23.9 million tons, while overburden removal slipped to 200.7 million bcm from 201.1 million bcm.
Meanwhile, the firm?s mining subsidiaries booked combined sales volume of 1.65 million tons, up 36 percent from 1.21 million tons. The firm has four coal mines, including one in South Kalimantan owned by PAMA, operated its subsidiaries PT Prima Multi Mineral (PMM), one in Central Kalimantan operated by PT Tuah Turangga Agung, two new mines operated by PT Asmin Bara Baronang and PT Duta Nurcahaya.
In line with the increased coal sales volume, the Mining division of the firm recorded a 20 percent growth of sales to Rp 1.41 trillion, contributing 10 percent to the firm?s consolidated sales.
Editing by Johannes Simbolon