Ever Shine reports profit

JAKARTA (JP): PT Ever Shine Textile Industry Tbk announced on Saturday a consolidated net profit of Rp 53.03 billion (US$7.07 million) in the first six months, compared to a net loss of Rp 41.84 billion in the same period last year.

The publicly listed synthetic textile company said in a statement that net sales dropped 1.2 percent to Rp 222.09 billion in the first six months from Rp 224.89 billion a year earlier.

The company, however, made some significant gains in nonoperating revenues. These include a significant net foreign exchange gain due to a stronger rupiah exchange rate and huge interest income due to strong interest rates.

The company said it was optimistic that net profit for the whole year would increase significantly this year from the Rp 19.23 billion recorded in 1998.

Its foreign exchange denominated debt of $58 million was successfully restructured in June with repayments extended until the end of 2003, it said.

"With the completion of the debt restructuring process, management can focus its attention on strengthening the company's operations," the statement said.

Ever Shine, listed on the Jakarta Stock Exchange since October 1992, exported 44 percent of its production this year, leaving 56 percent for the domestic market.

Its stock traded at Rp 850 (11 cents) on Friday, compared to Rp 300 a year ago and Rp 5,400 when it was first floated in 1992. (02)