UT?s revenue jumps 30% on higher coal price
Friday, July 28 2017 - 02:24 AM WIB
Petromindo|Boim
IDX-listed heavy equipment and coal mining firm PT United Tractors Tbk (UT) saw its consolidated net revenue in the first half of this year jumped by 30 percent year-on-year on the back of increased sales of heavy equipment, coal production, overburden removal and coal selling price.
The company said in a statement obtained Friday that the net revenue in the January-June period of this year increased to Rp 29.4 trillion from Rp 22.6 trillion in the corresponding period of last year.
Coal miners have been delivering higher revenue and profit this year on the back of recovery in the price of coal, starting in the latter part of last year, which triggered them to increase coal production, and in turn also help increased sales of heavy equipment.
UT said in the statement that it recorded net income of Rp 3.4 trillion, increased 85 percent compared to Rp 1.9 trillion due to higher operational volumes and profit margin.
Construction Machinery segment recorded an increase in Komatsu sales volume by 69 percent to 1,751 units from 1,036 units. Sales of spare parts and maintenance services increased by 16 percent to Rp3.2 trillion. In total, Construction Machinery segment recorded an increase in revenue at 63 percent to Rp11.2 trillion.
Mining Contracting business segment recorded an increase in net revenue at 15 percent to Rp13.3 trillion, with 52.0 million tons coal production and 360.4 million bcm overburden removal.
Mining business segment recorded coal sales volume decreased by 18 percent to 3.6 million tons due to lower volume from coal trading business, while net revenue increased by 24 percent to Rp4.0 trillion due to higher average coal selling price. The fourth segment, Construction Industry recorded 9 percent net revenue growth to Rp1.0 trillion.
Overall to the company consolidated net revenue, Mining Contracting segment contributed 45 percent, followed by Construction Machinery with 38 percent, Mining with 13 percent, and Construction Industry with 4 percent contribution.
Editing by Reiner Simanjuntak