Astra Agro Lestari's net profit up 44%

Astra Agro Lestari's net profit up 44%

JAKARTA (JP): PT Astra Agro Lestari booked a 44 percent
increase in net profit last year, reaching Rp 91 billion
(US$11.37 million) from Rp 63 billion in 1996.

Finance director Benny Tjoeng said over the weekend that the
company, a plantation subsidiary of PT Astra International,
recorded net sales of Rp 458 billion last year, an increase from
Rp 342.09 billion.

The company projected to record a total net sales of Rp 1
trillion this year due to the projected growth of export sales.

"We plan to export around 30 percent of our CPO this year."

The company also expects to produce 300,000 tons of crude palm
oil (CPO) this year, up from 254,000 tons in 1997.

He said the firm exported about 12,500 tons of CPO last year.

"With increasing allocations of CPO for exports, we are
optimistic of reaching the sales target this year," he said on
the sidelines of a public presentation of PT Astra Otoparts last
week.

The currently high price of CPO in the global market, he said,
would be advantageous to the firm.

He said the CPO currently sold at $680 per ton on the global
market, compared to $290 per ton domestically.

"We are lucky enough that the government will soon lift the
export ban on CPO products by April 22," he said, referring to
the deadline given by the International Monetary Fund to the
government.

Under the deal with the IMF, the government is required to
lift the export ban on CPO by April 22 and replace it with an
export tax of 40 percent.

Benny said the company was also optimistic of performing well
this year as it was not burdened by significant foreign exchange
debts.

Astra Agro Lestari currently has foreign exchange debts of $15
million owed to the country's largest private bank, Bank Central
Asia of the Salim Group.

Although the debts will mature this year, Benny said "but we
still have bank deposits worth $6 million".

He said the monetary crisis, which has seen the rupiah value
fall by around 70 percent against the American dollar, had not
adversely affected the performance of the company as it generated
some of its revenue in dollars.

Astra Agro Lestari and PT Astra International are listed on
the Jakarta Stock Exchange. (aly)