Astra net profit up 46.4 percent<\/p>\n
The Jakarta Post, Jakarta<\/p>\n
Domestic automotive giant PT Astra International said on Friday
\nthat its unaudited net profit for the first quarter of this year
\nrose by 46.7 percent on stronger sales from its top three
\ndivisions.<\/p>\n
The firm's net profit surged to Rp 1.24 trillion (US$144
\nmillion) in the first quarter of this year from Rp 840 billion in
\nthe same period last year.<\/p>\n
\"Our net income rose significantly due to contributions from
\nautomotive, financial services and agribusiness division as well
\nas gains from the sale of Pramindo investment amounting to Rp 246
\nbillion,\" said Astra president Budi Setiadharma in a press
\nstatement.<\/p>\n
He referred to PT Pramindo Ikat Nusantara, a joint-operation
\n(KSO) partner of PT Telekomunikasi Indonesia in Sumatra, which
\nwas recently bought out by Telkom. Prior to the acquisition,
\nAstra had a 59.5 percent stake in the firm.<\/p>\n
The company recorded revenues of Rp 8.76 trillion in the first
\nquarter of the year, up from Rp 7.67 trillion and its gross
\nprofit rose by 10.3 percent to Rp 1.98 trillion from Rp 1.79
\ntrillion.<\/p>\n
However, the gross profit margin slightly decreased to 22.6
\npercent from 23.3 percent as a result of the \"deconsolidation\" of
\nPT Toyota Astra Motor (TAM), Toyota's distribution and production
\narm in Indonesia, in August last year. Astra then cut down its
\nstake in TAM's production unit.<\/p>\n
Astra estimates sales this year will grow by 10 percent.<\/p>\n
During the first quarter, Astra made a further payment of its
\ndebt amounting to $80 million. As a result, the company's total
\noutstanding debts dropped to $247 million, reducing its net debt
\nto equity ratio to 0.02.<\/p>\n
Astra said that sales of its cars had jumped to 47,715 units
\nin the first three months of this year from 34,761 units a year
\nearlier. The increase had driven the company's market share to 46
\npercent from 42 percent as of the end of 2003.<\/p>\n
\"The increase in the market share is a result of a significant
\nsales of our new Toyota Avanzas and Daihatsu Xenias,\" said Budi.<\/p>\n
The company's sales of Honda motorcycles rose by 18.3 percent
\nin the first quarter to 464,422 units from 392,504 units in the
\nsame period last year. However, total market share fell to 49
\npercent from 57 percent.<\/p>\n
Budi said that total national motorcycle demand had increased
\nby 38 percent in the first quarter as a result of better economic
\nand political conditions and the entry of a variety of lower-cost
\nmotorcycles and lower interest rates offered by financial
\ncompanies.<\/p>\n
The significant growth of motorcycle and car sales had
\nbenefited Astra's financial services company as well. The number
\nof motorcycle financed by the company grew by 48 percent to
\n144,314 units from 97,493, while car financing grew by 49.6
\npercent to 21,124 units from 14,120.<\/p>\n
Astra also enjoyed better performance out of its agribusiness
\ncompany. Sales volume of its crude-palm oil (CPO) surged by 39.1
\npercent to 170,743 tons from 122,763 tons, while the average
\nsales price of CPO rose by 8.2 percent to Rp 3,863 per kilogram
\nfrom Rp 3,570.<\/p>\n
A third of Astra's shares are owned by Singapore-based Cycle &
\nCarriage Ltd.<\/p>",
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