Gajah Tunggal profit plummet 36,8%

Net profit of PT Gajah Tunggal Tbk in semester I/2009 declined 36.8 percent into IDR144.72 billion as from the former period of IDR197.99 billion.
Director of Gajah Tunggal Catharina Widjaja said there is still pressure over the global tire market.
"There is slight growth of the domestic market. But the net sales of Gajah Tunggal plunged 2.9 percent into IDR3.78 trillion in semester I/2009 as from IDR3.89 trillion of the same period last year," she said yesterday.
She said the overall tire sales in semester I/2009 declined drastically as from the previous year. "This is due to the sharp drop of sales volume of the four wheeled vehicle export," she said yesterday.
The gross profit margin in semester I/2009 is stable at 15.9 percent as from semester I/2008.
"There is quite significant improvement of the gross profit margin in quarter II/2009 due to the declining raw material price and the company could successfully cut down the soaring supply cost. But the operational margin in semester I/2009 decreased into 6.4 percent as from 9.5 percent in 2008 due to the significant rise of sales cost."
The soaring sales cost is due to the program in support of product marketing which serves as the indication that the business condition amidst the hardship. So, EBITDA in semester I/2009 stood at US$37 million as from US$57 million in semester I/2008.
"The rupiah value is appreciated against the US dollar in quarter II/2009 or on contrary with the losses of the foreign exchange rate in quarter I/2009. So, the net profit becomes positive."
The stock price boosted 3.28 percent into IDR315 as from the previous day. Thus, the market capitalization was IDR1.09 trillion.