Net profit Gajah Tunggal increase 25%

PT Gajah Tunggal Tbk scooped IDR526 billion net profit, increased 25% compared to the same period of that last year as driven by realized profit on the investment and cancellation of provision for doubtful accounts because the company receives payment for the debt.

Gajah Tunggal Director Catharina Widjaja said both issues eliminated the losses due to the weakening rupiah exchange rate against the U.S. dollar which arise dure to debt in foreign currencies.

"In the second quarter of 2012, we completed the purchase of nearly 100 hectares land for US$108 million located in the new industrial area in Karawang. The purchasing has two objectives, a portion of the land will be used for the construction of tires proving ground which will begin in the coming months and is expected to be completed within 2 years to 3 years," he explained on Tuesday (07/31/2012).

Furthermore, she said, the others will be used for Gajah Tunggal manufacturing locations expansion. "This land purchase is financed with internal resources and requires no external funding."

He explained the management has decided to start commercial production of radial tires for trucks and buses. "The radial tires production for trucks and buses will be carried out gradually over the next 3 years with a total production capacity target of about 1,500 – 2,000 tires per day. Total capital expenditures for this program is expected to reach US$150 million over 3 years period”

Catharina said Gajah Tunggal net sales in the first half of 2012 increased 9.4% to IDR6.36 trillion, compared with same period last year which amounted to IDR5.81 trillion.

In addition, she said, four-wheeled original equipment manufacturer (OEM) market also increased due to increasing demand from manufacturers who have teamed up with GT. On the contrary in two-wheeler OEM market, delivery to Michelin and export to Europe decreased.

"Gross profit margin in the first half of 2012 increased to 17.4% from 13.2% in the same period of last year due to significant decrease in natural rubber price. The quarterly gross profit margin in the second quarter of 2012 was quite stable due to the high cost of chemical materials [related to the oil price] used by Gajah Tunggal."

She also said the company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) during the first semester 2012 reached US$104 million, up 43% compared with same period a year earlier.

Express Taxi & Waskita Karya plans IPO this year

PT Express Transindo Utama, operator of Express taxi, is planning to conduct initial public offering this year and pick PT Mandiri Sekuritas as underwriter.

PT Express Transindo Utama will conduct mini expose, today (7/27/2012), The fund will be use to add armada, potentiallt to focus on premium taxi. The company will conduct IPO in the fourth quarter, he continued. The unit of Rajawali Corpora is eyeing IDR500 billion by releasing 20% shares.

On a separate occasion, PT Waskita Karya might conduct IPO in November 2012 at the fastest. The company is currently waiting for government’s approval and regulation regarding its status as state-owned company, after restructuring process by PT Perusahaan Pengelola Aset.

Indosiar plans to stock split

PT Indosiar Karya Media Tbk, a listed company with stock code of IDKM, plans to conduct stock split. Such action is announced through public disclosure to Indonesia Stock Exchange, today (7/18/2012). 

The shareholders meeting is expected to be held in August-September this year.The stock split is intended to make the IDKM-coded stock more affordable for retail investors so that public investors can better enjoy its performance and also to boost liquidity of the company’s stock.

Indosiar Karya Media, which is recently joining into a business group owned by Sariaatmadja family, proposed stock split ratio of 1:5.

The company subsidiaries include Indosiar television station (PT Indosiar Visual Mandiri), Elshinta TV (PT Elshinta Televisi), Radio Elshinta FM (PT Radio Elshinta), several newspapers, online websites, and production houses.

Garuda plans to raise US$200 million loan from Citi & UBS

PT Garuda Indonesia Tbk negotiating with Citibank, UBS, and several domestic and foreign banks to seek loan worth US$200 million which will be used for working capital in 2012.

The new loan was still on loan restructuring covenant framework with a number of old debtor which was 5 times from earnings before interest, tax, depreciation, and amortization (EBITDA). Along with installment repayment, Garuda chance to receive new loan is more open.
 

Garuda only have US$300 million debt and will be paid off by 2015. “With smaller outstanding debt we are freer to seek new funding for business development."

As the initial public offering last year, Garuda planned a quantum leap program in the business development. The airlines planned to have 194 aircraft by the end of 2015 from the current 92 units.

In recent years, Garuda aggressively met various types of aircraft procurement agreements. Some of them were Boeing 777 (10 units), Airbus330 (21 units), Airbus320 as many as 25 units with the option of adding 25 units and Boeing737-800 NG as many as 25 units with the option of adding the same amount.

Toba Sejahtra set IPO price at IDR1,900

PT Toba Bara Sejahtra Tbk, coal company listed on the Indonesia Stock Exchange (BEI), setting a record price of shares of IDR1,900 and pocketed up funds totaling IDR400.29 billion.

The price was publicized in an information disclosure submitted to PT Indonesia Central Securities Depository (KSEI)./ The company will listing tomorow on the Indonesia Stock Exchange.

 

The number of shares that will be released by the company is 210.68 million shares with a nominal value of IDR200 a share. With the number of shares and the listing price, the IPO of the company scooped IDR400.29 billion.

 

Previously, the company set its share price in the range of IDR1,850-IDR2,000 in the early days of the bidding, so the pricing of IDR1,900 was in the low range.

 

In a public offering or IPO (initial public offering), a company owned Lieutenant General (Retired) Luhut Binsar Pandjaitan it intends to remove 15% of public shares, or approximately 317.9 million shares.

 

With the IPO price range at IDR1,850-IDR2,400, the company targeted IDR588 billion in funds of up to IDR763 billion. According to the plan, the company intends to use TOBA as the stock code to these new shares. 

 

Of the funds, amounting to 15% will be used to pay off the company's loan facility to BNP Paribas, approximately 50% for mining capital expenditure, and about 35% for the acquisition of mining concessions and for working capital and exploration.

 

In the IPO, the company led by Justarina Naiborhu is helped by PT Mandiri Sekuritas, PT Morgan Stanley Asia Indonesia, and PT CLSA Indonesia as an underwriter of the share issuance.

 

 

Indofood start up subsidiary in Shipping Business

Salim Group Holding PT Indofood Sukses Makmur Tbk established new subsidiary in shipping service industry namely Glory Sky Enterprise Pte Ltd based on Singapore.

Indofoor Director and Corporate Secretary Werrianty Setiawan explained the subsidiary establishment will be conducted through a company’s subsidiary company namely Ocean 21Pte Ltd .

"The company was founded with a paid in capital of US$ 1,000," he said in an official statement on Tuesday (3/7/2012).

Earlier in late May 2012, Ocean 21 Pte Ltd has also established a shipping company namely Ocean Amazing Pte Ltd with a paid in capital of US$100,000.

"Glory Sky Enterprise Pte Ltd was established to anticipate Ocean 21 business expansion which engaged in shipping services," she explained.

Based on the company's financial statements by March 31, 2012, Ocean 21 Ltd has assets amounting to IDR1.58 trillion, with direct ownership of 100%.

Net Profit Lippo Karawaci Jumps 51%

Net profit of PT Lippo Karawaci Tbk in first quarter this year was up 51% to be IDR205 billion compared with IDR136 billion in the same period last year.

Head of Corporate Communication Lippo Karawaci Danang Kemayan Jati said the financial performance in 1Q/2012 is supported by the economic growth of Indonesia, the hospital revenue growth, home sales and productivity increase.

He said the total revenue of Lippo Karawaci during the first three months rose 33% to IDR1.171 billion compared with IDR882 billion in the same period last year.

“Business division of Lippo continued to grow during the first quarter with the revenue of the hospital business division which increased 40% to IDR402 billion, in line with the increase in the average revenue from outpatient and inpatient care, "he said this afternoon, May 30, 2012.

Furthermore, he said, revenues from residential or township business division rose 33% to IDR547 billion from IDR411 billion. According to him, Lippo Cikarang Township recorded a growth of 110% to IDR225 billion compared to same period last year.

“Revenue from large scale integrated developments was 47% to be IDR203 billion, supported by revenues from Kemang Village and The St. Moritz along with the development of condominium.

Danang explained the revenue from commercial division consisting of Retail Malls & Hotels, grew 19% to be IDR114 billion compared with last year.

Semen Gresik prepare IDR2.09 trillion for new plant

PT Semen Gresik Tbk agreed to disburse IDR2.09 trillion in minimum to finance the construction of SGG III and SGG IV from the total needs of IDR6.96 trillion.

 

By considering the cash flows during the project implementation, about 30% of the fund will derive from the company's own funds, while the remaining from loans and/or other financing instruments.

 

The company plans to construct SGG III in Sumatra and SGG IV in Java, which will provide extra contribution of IDR1.41 trillion and IDR3.04 trillion. The funding to build the two new cement plants with each capacity of 3 million tons is excluded the interest during construction (IDC). Such construction is really necessary as shortage of cement supply in the country may occur next year. Semen Gresik also plants to build three to five packing plants with capacity of 200,000 tons a year.

Berau Coal prepares US$300 million for steam power plant

A coal mining company controlled by Bumi Plc, PT Berau Coal Energy Tbk, is preparing US$300 million from internal cash in attempt to build a steam power plant and conveyor in Berau, East Kalimantan.
The development of the steam power plant and conveyor in the company’s mining area will be started in September.

The company plans to use US$300 million for the development of the steam power plant and conveyor. Meanwhile, the power plant will spend US$75 million. The funds will be taken from internal cash.

The steam power plant with a capacity of 2x20 megawatt which will support the energy needs for the company will be built in mine mouth of Berau Coal, located in Berau, East Kalimantan. This year, Bearu Coal Energy (BRAU-coded stock) has budgeted capital expenditure (capex) at US$160 million

Delta Dunia books IDR26.64 billion loss

PT Delta Dunia Makmur Tbk suffered IDR26.64 billion net loss in QI/2012, swing from IDR26.86 billion net profit on the same period last year.

Based on its financial report, the DOID-coded company noted decrease in gross profit margin to 11.44% from 18%.

Net income in QI/2012 recorded at IDR1.74 trillion, gross profit at IDR199.17 billion while in QI/2011 the company booked respectively IDR1.55 trillion and IDR278.85 billion.

Astra International pay dividend IDR8.01 trilion

PT Astra International Tbk distributed 45% of net profit in fiscal year 2011 as dividends to its shareholders. Tthe company will pay out dividends in fiscal year 2011 amounted to IDR8.01 trillion.

As much as IDR1.980 a share which will be included as interim dividends of IDR600 a share paid on November 14, 2011, the remaining IDR1.380 a share will be paid on June 6, 2012.

The shareholders meeting Astra today also obtain approval to perform stock split.Stock split ratio is 1:10, the stock nominal value became IDR50 a share from its original value of IDR500 a share.

The change in nominal value increases the number of shares placed and paid-up by the company from the original 4.05 billion shares to 40.48 billion shares.

Astra Otoparts books IDR262.52 billion net profits

PT Astra Otoparts Tbk, a producer of vehicle spare parts, posted a slight increase in net profit by 1.34% to IDR262.52 billion in the first three months this year from IDR259.04 billion a year earlier. 
Such net profit was far below the 17.01% growth in first quarter 2012 from IDR1.82 trillion in the first three months 2011 to IDR2.13 trillion in the same period in the following year.
Thus, the net margin of the AUTO-coded company fell by 8.77% to 16.1% from 17.55% last year. As the gross margin ratio dropped 13.39% from 14.24% in first quarter 2011 to 12.34% in the same period in the following year.
The declined net margin reflects a decline in the company’s efficiency in achieving net profit. As earlier reported, Astra Otopart’s net margin reached 13.67% or narrowed to 25.64% compared to 18.24% in 2010.
The rising price of raw materials led to such decline in net profit. In today’s trading, AUTO-coded share was stagnant at price of IDR3,550 a share, with price earnings ratio of 13.58 times.

Bank Mandiri pay dividend 20%

PT Bank Mandiri Tbk, Indonesia's largest lender by assets, pay IDR2.45 trillion dividends or 20% from the IDR12.25 trillion net profit last year. All state-owned banks will also pay dividend in the same percentage. The allocated dividend of 20% would strengthen the competitiveness of capital and provide wider space to distribute credit. The company targeting 20%-22% credit growth this year.

However, the paid-in dividend to shareholders from Bank Mandiri is still below PT Bank Rakyat Indonesia Tbk that reached IDR3.02 trillion, although both have the same percentage of 20% from the total net profit in 2011.

Meanwhile, PT Bank Negara Indonesia Tbk shareholders agreed to pay IDR1.165 trillion dividends or 20% from the total profits of IDR5.8 trillion in 2011.

Last week, the shareholders of PT Bank Tabungan Negara Tbk decided to pay dividends by 20% or IDR223.73 billion for the 2011 net profit valuing IDR1.1 trillion.

In term of percentage, Bank Mandiri’s retained earnings were higher at 76%, followed by BRI 75%, BTN 70%, and BNI 56%. BNI has smaller retained earnings due to higher general reserve at 10%.

Although the company held rights issue last year, its capital adequacy ratio (CAR) rapidly declined to 15.13% from 18%. It declined as the company’s credit expansion reached 27% last year. The management optimistic with dividend payment of 20% the company will be able to maintain the CAR over 12% until 2014.

BNI proposes dividend 20% from net profit

PT Bank Negara Indonesia Tbk, the country fourth largest lender by assets, proposes dividend 20% from net profit IDR5.81 trilion in 2011. BNI books 42% rise in profit for 2011 hitting IDR5.81 trilion from IDR4.1 trilion in 2010. 

The boost in net profits was attributable, among other factors, to last year’s 13 percent increase in the bank’s interest-based income to IDR13.2 trillion, from IDR11.72 trillion the year before,  An 8 percent increase in fee-based income, from IDR7.06 trillion to IDR7.6 trillion, is another contributor to profit growth.

Total loans disbursed by the bank throughout 2011 were valued at IDR136.36 trillion, an increase of 20 percent from the year before. The company’s assets also grew by 20 percent, to IDR299.06 trillion.

The lender preparing bonds issuance US$500 million-US$1 billion for expand the business. Next month, management of BNI and underwriter plans to road show in Europe, United Tsates of Amerika, and several country in Asia. Morgan Stanley, Credit Suisse, and Deutsche help BNI to sell the notes.

Indosat pay US$300 million debt

PT Indosat Tbk, second largest seluler provider in Indonesia, is planning to settle US$300 million or IDR2.65 trillion debt next year.Indosat's debt position in the end of September was at IDR21.64 trillion, down IDR2.42 trillion from last year's position at IDR24.06 trillion or more than US$200 million.

The company will use internal cash to settle debt in 2012. Cash and cash equivalent of the company in the third quarter was recorded at IDR1.81 trillion.

In the third quarter, Indosat pocketed IDR992 billion net profit, rose 86.9% from IDR530.9 billion on the same period last year. The gain was contributed by smaller number of other expenses.Nevertheless, operating income was down 9.2% to IDR2.31 trillion from IDR2.54 trillion amid higher operating expenses.

Operating revenue slightly rose 3.5% to IDR15.36 trillion from IDR14.84 trillion, thus operating margin down to 15.01% from 17.12%.

Danamon rights issue oversubcribed

PT Bank Danamon Tbk ’s rights offering received a very strong and favorable response from the market, with excess share applications reaching 150.81 million.

Danamon issued 1,16 billion series B shares with a nominal value of Rp 500 (five hundred Rupiah) per share at the offering price of IDR4,300 per share, raising total proceeds of IDR 4.99 trilion.

Post rights issue, Danamon’s pro forma consolidated and stand alone Capital Adequacy Ratio (CAR) stood at 18.3% and 17.1%, respectively as of June 30, 2011, well above the minimum requirements of 8% set by Bank Indonesia.

Citigroup Global Markets Singapore Pte. Ltd. and Deutsche Bank AG, Hong Kong Branch acted as Standby Purchasers for the rights issue. PT Danareksa Sekuritas was the arranger for the rights issue.

Bakrie Plantations settle debt through shares buy back

PT Bakrie Sumatera Plantations Tbk, producer crude palm oil and rubber, plans to settle its equity-linked debt worth US$600,000, by using its shares collected from the market in recent buyback.
Bakrie Plantations has 6.4 million shares, equals to 0.045% of its total paid in and issued capital, obtained from the buyback. The shares may be used to settle part of its equity-linked debt amounted to US$199 million that will due in 2017.
In accordance with the agreement, debtholders have option to demand Bakrie Plantations to settle the debt by paying cash, company's share or combination between cash and share.
Regarding to the matter, Credit Suisse (USA) LLC as the major note holder on September 12, 2011 officially demanded Bakrie Plantations to settle the debt with company’s share.
Therefore, the Bakrie group-controlled company will have to transfer 6.1 million unit of recent buyback shares to the financial house.
The transaction must be conducted within 14 days since the information disclosure released, with price of IDR347.02. It's slightly higher than buyback price at IDR327.29 per share.
The listed plantation company booked IDR408.78 billion attributed net profit in the first half of 2011, from IDR35.24 billion on the same period last year.
Revenue booked at IDR2.3 trillion, doubled from IDR1.13 trillion, while operating profit rose 101.17% to IDR654.1 billion fromIDR325.13 billion.
Narrower liabilities such as smaller interest expenses amid higher interest income led to company’s profit before tax rose 378.66% to IDR546.44 billion in the first six months from IDR114.15 billion on the same period last year.

Clipan Finance rights issue IDR468.6 billion

PT Clipan Finance Indonesia Tbk seeks to raise as much as IDR468.6 billion selling 1.17 billion new shares in a rights offer in October to boost working capital, the company said in a statement published today.
Existing shareholders can buy nine new shares at IDR400 a piece for every 20 shares they hold, the Indonesian consumer financing services company said in the statement.
The company picks PT Evergreen Capital as a stand by buyer. Clipan Finance also plans to issue IDR500 billion bonds and pick PT Indo Premier Securities and Evergreen Capital as a underwriter.

Sawit Mas raise IDR1.34 trilion loan

PT BW Plantation Tbk through PT Sawit Sukses Sejahtera obtained credit facility from PT Bank Rakyat Indonesia Tbk (BRI), with a total value amounting to IDR1.34 trillion.

Sawit Sukses is a subsidiary of BW Plantation, which was founded in 1995. BW Plantation ownership in this company is 99.99%.

BW Plantation Director Pointo Pratento said the loans are not only for investment credits worth IDR1.25 trillion at maximum, but also working capital loan up to IDR46.5 billion to develop its subsidiaries’ business.

"We hereby inform that on September, our subsidiaries, Sawit Sukses Sejahtera has signed a credit agreement with Bank Rakyat Indonesia, consisting of investment credit, working capital and this transaction," he said in a disclosure submitted to Indonesia Stock Exchange (IDX) yesterday.

The investment credit consists of plantation investment worth IDR1.03 trillion with 8 year-tenor and the palm oil mill (PKS) construction investment amounting to IDR221.50 billion with 11 year-tenor and interest expense of 10% per year.
The amount of IDR1.03 trillion is included with the interest during construction on the accrued expense payable by IDR179, 90 billion, while the amount of IDC for PKS development credit is IDR18.5 billion.
On the other hand, the working capital loan worth IDR46.50 billion has similar interest rate, but it only has 48 months or 4 years of tenor. The proceeds will be used for Sawit Sukses’ productive plants maintenance.
"This temporary loan transaction is excluded from those classified as material transactions referring to Capital Market and Financial Institution Supervisory Agency's [Bapepam-LK] Regulation IX.E.2 concerning Material Transaction and Change of Main Business Activities," said Pointo.
On the investment credit, he explained the fund could be withdrawn gradually since 2011 until maximum period of 5 years after the facility was signed, while working capital loan can be withdrawn gradually from next year until 2013.
The loan is secured with the right to cultivate for an area of 20,220 hectares in Senyiur Village, East Kutai District of East Kalimantan. The plants, properties and equipments and the mill building to be constructed are still owned by Sawit Sukses.
BW Plantation management once set a target of adding 10,000 hectares of land each year to expand its land bank within 2011-2014.
Beside Sawit Sukses Sejahtera, the company has six other subsidiaries. They are PT Wanacatur Jaya Utama, PT Adhyaksa Dharmasatya, PT Satria Manunggal Sejahtera, PT Agrolestari Kencana Makmur, and PT Bumilanggeng Perdanatrada.
Bumilanggeng also has a subsidiary named PT Bumihutani Lestari. All of the subsidiaries and sub-subsidiaries are focus in palm oil plantation.

Bumi reiterates schedule for $600 Million debt payment

PT Bumi Resources Tbk, Indonesia largest coal exporter, maintains its worst scenario schedule to pay down $600 million of its $1.9 billion debt to China Investment Corp. in the fourth quarter of this year.

The second tranche of another $600 million will be paid in the fourth quarter of 2012 and the rest in the fourth quarter of 2013.

Bumi's first half net profit was $278.6 million, compared with a restated $271 million in the same period a year earlier. Bumi had said last year its first half 2010 net profit was $134.6 million.
Bumi, which the politically connected Bakrie family and Nathaniel Rothschild control via London-listed Bumi Plc , plans to repay the first $600 million tranche of a $1.9 billion loan to the China Investment Corporation (CIC) in October.
Bumi has increased its forecast for 2011 average coal prices to $90 per tonne, higher than its previous forecast of $77 per tonne, due to stronger demand from India and China. Production is seen at 66 million tonnes this year.