Dharmala Agrifood sees drop in profit

JAKARTA (JP): Publicly listed PT Dharmala Agrifood expects a 39 percent decline in net profit this year to Rp 11 billion (US$4.58 million) from Rp 18.2 billion in 1996.

Natalia Dewi Sari, a director of the company, said yesterday the projected drop was due to a decline in non-operating income.

Last year the company's net profit surged 115 percent to Rp 18.2 billion from Rp 8.47 billion in 1995. The growth came from the sale of 49 percent of its shares in its subsidiary PT Artacitra Terpadu Feedmill to San Miguel Foods International Ltd.

Artacitra, set up in early 1996, produces poultry feed.

Dharmala now has 51 percent of the poultry company.

"Of the total net profit in 1996, Rp 15 billion was contributed by the sale of Artacitra's share to San Miguel," Natalia said.

She said Dharmala Agrifood's net sales were projected to increase by 23 percent to Rp 398 billion this year from Rp 270.6 billion.

Dewi said Dharmala Agrifood's net sales rose slightly to Rp 57.7 billion in the first quarter of 1997 from Rp 53.2 billion in the corresponding period last year.

She said in the Jan.-March period net profit rose to Rp 4 billion from Rp 2.6 billion in the same period last year.

In yesterday's meeting, shareholders approved a proposal to set aside 48.2 percent or Rp 8.77 billion from the 1996's net profit for dividend.

"The dividend will be Rp 70 per share," she said.

Dharmala Agrifood was established in 1971. It produces raw materials for animal feed. The firm is currently 61.20 percent owned by PT Dharmala Intiutama, 0.60 percent by Dharmala Mapindo and 38.20 percent by the public.

The company's share price surged by Rp 25 to close at Rp 1,575 yesterday at the Jakarta Stock Exchange on a total volume of 66,500 shares. (09)