Bakrie & Brothers' profits increase by 17%

JAKARTA (JP): Publicly-listed PT Bakrie & Brothers said yesterday that its consolidated net profits increased only by 17 percent to Rp 120 billion (US 51.2 million) last year although its operating profits rose 54 percent to Rp 189 billion.

"It was due mainly to a change in the accounting system. Moreover, Rp 36 billion of 1994's profits were capital gains from a partial divestment of our shares in PT Bakrie Electronics Company," Bakrie & Brothers' president, Tanri Abeng, said after an annual meeting of shareholders.

Tanri said that up to 47 percent of the net profits derived from the company's infrastructure-related division, only 15 percent from the plantations division, 9 percent from telecommunications division and the remaining 29 percent from strategic investments.

Bakrie & Brothers, which currently operates in three core business -- telecommunications, plantations and the infrastructure-related industry -- through a number of subsidiaries, booked Rp 1.2 trillion in net consolidated revenues last year, an increase of 69 percent over the previous year.

Tanri said that of the total revenues, Rp 228 billion derived from the telecommunication sector (which recorded an increase of 168 percent), Rp 432 billion from the infrastructure-related sector (36 percent) and Rp 602 billion from the plantation sector (76 percent).

He also said that the shareholders approved the company's plan to use 40 percent of last year's net profits for dividend payments, totaling Rp 48 billion or Rp 100 per share.

Meanwhile, a subsidiary of Bakrie & Brothers, PT Indocopper Investama Corporation, which also held an annual shareholders meeting here yesterday, reported an increase of 24 percent in net profits to Rp 43 billion last year due mainly to a significant increase in dividends received from its investment in PT Freeport Indonesian Company.

Indocopper said in a statement that Rp 39 billion out of its net profits is allocated for 1995's dividend payments. (alo)