MARKET DEVELOPMENT
Astra Agro Sees Profit Dip 46% in First Nine Months
Astra Agro Sees Profit Dip 46% in First Nine Months
31/10/2013 (Jakarta Globe) - Astra Agro Lestari, the plantation unit of the Astra International conglomerate, posted a 46 percent decline in net income in September as revenue fell amid prolonged weak palm oil prices.
In a filing to the Indonesia Stock Exchange on Tuesday, the company’s financial statement showed that its net income for the period from January to September this year stood at Rp 911 billion ($84 million), down from Rp 1.67 trillion in the corresponding period last year.
The unit’s revenue fell to Rp 8.32 trillion from Rp 8.57 trillion a year earlier.
In a separate filling on Monday, the company said that within the nine months to September, the company sold a total of 1.11 million metric tons of crude palm oil, or 11 percent higher than the sales volume in the same period a year earlier. The company also sold 237,547 million metric tons of palm kernel, a rise of 60 percent from a year earlier.
Ninety-eight percent of the company’s sales went to the local market, which in creased slightly from the 97 percent contribution of the local market a year earlier as exports declined. Astra Agro’s exports fell 24 percent to 17,500 metric tons.
The price of crude palm oil continued to decline “due to the impact of the declining world CPO [crude palm oil] price,” Astra Agro’s report stated.
The company recorded an average selling price of Rp 6,835 per kilogram for its CPO, which is 12 percent lower than the average price in the same period last year.
Meanwhile, the average price of Astra Agro’s palm kernel fell some 19 percent to Rp 3,088 per kilogram.
The company’s cost of revenue (or the cost of goods sold) rose to Rp 6 trillion from Rp 5.55 trillion a year earlier.
The company also suffered from the declining rupiah, posting a Rp 335 billion foreign exchange loss, which is a jump from the Rp 909 million foreign exchange loss it recorded in the same period last year.
In the first half of this year, Astra Agro contributed 6.5 percent of Astra International’s total income. About half of the conglomerate’s earning comes from its automotive division.
In a filing to the Indonesia Stock Exchange on Tuesday, the company’s financial statement showed that its net income for the period from January to September this year stood at Rp 911 billion ($84 million), down from Rp 1.67 trillion in the corresponding period last year.
The unit’s revenue fell to Rp 8.32 trillion from Rp 8.57 trillion a year earlier.
In a separate filling on Monday, the company said that within the nine months to September, the company sold a total of 1.11 million metric tons of crude palm oil, or 11 percent higher than the sales volume in the same period a year earlier. The company also sold 237,547 million metric tons of palm kernel, a rise of 60 percent from a year earlier.
Ninety-eight percent of the company’s sales went to the local market, which in creased slightly from the 97 percent contribution of the local market a year earlier as exports declined. Astra Agro’s exports fell 24 percent to 17,500 metric tons.
The price of crude palm oil continued to decline “due to the impact of the declining world CPO [crude palm oil] price,” Astra Agro’s report stated.
The company recorded an average selling price of Rp 6,835 per kilogram for its CPO, which is 12 percent lower than the average price in the same period last year.
Meanwhile, the average price of Astra Agro’s palm kernel fell some 19 percent to Rp 3,088 per kilogram.
The company’s cost of revenue (or the cost of goods sold) rose to Rp 6 trillion from Rp 5.55 trillion a year earlier.
The company also suffered from the declining rupiah, posting a Rp 335 billion foreign exchange loss, which is a jump from the Rp 909 million foreign exchange loss it recorded in the same period last year.
In the first half of this year, Astra Agro contributed 6.5 percent of Astra International’s total income. About half of the conglomerate’s earning comes from its automotive division.