Indorama posts Rp 36.2b net profit

JAKARTA (JP): Publicly listed polyester maker Indorama Synthetics posted a Rp 36.2 billion net profit in the first quarter of 1997, up 77 percent from Rp 20.4 billion in 1996.

The company said yesterday it also recorded a 26 percent increase in net sales to Rp 198.6 billion in the first quarter over Rp 158.1 billion in the corresponding period last year.

Earnings per share surged 19 percent to Rp 224.

"Indorama is operating at full capacity making polyester and spurn yarns to meet strong international demand," it said.

Senior financial manager V.S Baldwa said earlier the company expected total sales of Rp 934 billion in 1997 and net profit of Rp 148 billion.

The company plans to invest US$350 million (Rp 829.5 billion) between 1997 and 1999 to expand.

He said about US$135 million would be used to expand the company's polyester and spun yarn plants in Purwakarta, West Java.

He said the company would increase polyester production by 36,000 tons from 149,000 tons a year.

Baldwa said that between 1998 and 1999 the company would invest another US$265 million to expand its polyester and power plants in Purwakarta, West Java. (09)