Kimia Farma seeks higher profit

Kimia Farma seeks higher profit

JAKARTA: PT Kimia Farma, Indonesia's largest drugmaker,
expects profit to almost triple to Rp 100 billion (US$11.8
million) this year on higher sales, the company said after a
shareholders' meeting.

Kimia Farma earned Rp 35.4 billion last year on Rp 1.54
trillion in sales. It forecast sales of 1.9 trillion this year.

The shareholders also approved paying 30 percent of 2002
profits as dividends, or equals to Rp 1,91 per share.

The government plans to sell a stake in Kimia Farma this
year, as part of an effort to raise Rp 8 trillion to help fund
a budget deficit estimated at Rp 34.4 trillion. -- Bloomberg

Astra's April car sales decline

JAKARTA: PT Astra International, Indonesia's largest
automaker, sold 8.9 percent fewer cars in April than in the year-
earlier month as exports dropped.

Astra's sales of cars, led by assembled Toyota Motor Corp.,
Isuzu Motors Ltd. and Daihatsu Motor Co. vehicles, fell to 14,984
units in April from 16,444 units in the same month a year
earlier,
said Indonesia's automakers' association, Gaikindo.

Astra's exports fell 28.6 percent to 2,640 units from 3,698
units in April last year. Astra's domestic sales fell 3.2 percent
to 12,344 units.

Overall, Indonesian automakers sold 32,437 cars in April, a
fall of 1.9 percent from 33,057 units a year earlier. Domestic
sales rose 1 percent to 29,640 units. -- Bloomberg

Indofood to boost bond sale by 50%

JAKARTA: PT Indofood Sukses Makmur, the world's-biggest noodle
maker, will increase a sale of its five-year bond in June by 50
percent to Rp 1.5 trillion (US$178 million) to meet investor
demand.

"The reception from investors has been good," said Wahzary
Wardaya, managing director of investment banking at Danareksa
Sekuritas, which is helping arrange the sale.

Indofood received demand for up to Rp 3.5 trillion of bonds,
with a coupon set at 13.5 percent. "The interest rate range is
attractive to investors," Wardaya said.

Indofood is among a growing number of Indonesian companies
looking to capitalize on a decline in domestic interest rates to
cut borrowing costs or raise money for expansion.

PT Astra Sedaya Finance, a finance company owned by PT Astra
International and GE Capital, will sell Rp 900 billion of bonds
this month to help fund growth in its automotive lending.

The noodle maker will use the proceeds to replace short-term
loans. -- Bloomberg

Pertamina '04 oil consumption to rise

JAKARTA: Indonesia's national oil and gas company Pertamina
said Tuesday it has revised upward its forecast for local oil
products consumption to between 65 million and 66 million
kiloliters in 2004 from 63 million kiloliters.

"Local demand for oil products will grow between 3 percent and
4 percent in 2004," Muchsin Bahar, a Pertamina director, told
reporters, without explaining why there would be higher demand.

He said local oil products consumption forecasts for 2003 and
2005 remain at 60.92 million kiloliters and 65.5 kiloliters
respectively.

Muchsin said current oil products stocks are at 24 days.

He said Pertamina is preparing to restart later this month its
260,000-barrel-a-day Balikpapan refinery. The Balikpapan refinery
has been shut since early March for a maintenance turnaround. --
Dow Jones

UBS posts better than expected Q1

ZURICH: Switzerland's largest bank, UBS, on Tuesday announced
a net profit of 1.21 billion Swiss franc (US$923 million) in the
first quarter, down by 11 percent compared to the same period
last year.

Before goodwill payments, net profit declined by seven
percent, with most of the fall attributable to a 20 percent drop
in the value of the US dollar against the Swiss franc, UBS said
in a statement.

The result exceeded the expectations of analysts, who had been
counting on a net profit in the range of 930 million to 1.16
billion Swiss franc.

"While some degree of volatility cannot be excluded, we do
feel that the downward pressure on our industry from the business
and market environment could be beginning to ease and that the
worst earnings declines may be behind us," UBS chief executive
Peter Wuffli said. -- AFP

Hyundai's Q1 profit falls 28.8%

SEOUL: South Korea's leading carmaker Hyundai Motor said
Tuesday its first quarter net profit fell 28.8 percent,
reflecting a drop in non-operating gains.

Hyundai Motor Co. recorded a net profit of 417.6 billion won
(US$348.8 million) for the three months to March.

Sales rose seven percent to 6.09 trillion won and operating
profit increased 6.1 percent to 612.9 billion won. Recurring
profit dropped 26.4 percent to 631.6 billion won.

For the same period, Hyundai sold 184,000 units at home, down
6.1 percent from a year ago, and exported 223,000 units, up 10.2
percent.

Hyundai Motor aims to record 2.3 trillion won in operating
profit on sales of 28.2 trillion won in 2003.

The company aims to sell 1.82 million vehicles in 2003, up
from 1.72 million a year earlier. -- AFP