DAMRI targets big profit

DAMRI targets big profit

JAKARTA (JP): State-owned bus firm DAMRI is targeting to glean a profit of about Rp 7 billion (US$3.05 million) from its revenues estimated at Rp 120 billion this year, its president said.

Darius Djana told reporters after a ceremony for the commemoration of DAMRI's 49th anniversary that the company aims at increasing its revenues to at least Rp 120 billion next year in a bid to gain a profit of about Rp 8 billion.

The company gained a profit of Rp 7 billion in 1994.

"We're optimistic about that as we're continuing to minimize our operational costs and improve efficiency," Darius said.

The company's director of finance, S.T. Kumoro, said that the company thus far has achieved 85 percent of its revenue target for this year.

Darius said, however, that the company still has to subsidize transportation services in the eastern part of Indonesia, which is widely known as having very poor transportation infrastructure and a small number of passengers.

S.T. Kumoro, told The Jakarta Post that such a pioneering task of transportation service in eastern provinces requires the company to provide a subsidy of about Rp 2 billion per annum.

The company has total assets of Rp 120 billion, operates 1,257 buses throughout the country and employs 8,300 people. (13)