Lippoland declares Rp 60 dividend

JAKARTA (JP): The annual shareholders' meeting of publicly- listed Lippoland Development yesterday approved management's proposal to pay a Rp 14.9 billion dividend, or Rp 60 (2.5 U.S. cents) a share, for the financial year which ended in June.

The company's newly-elected president Eddy Sundoro said the shareholders also endorsed a proposal to split the nominal value of the shares to Rp 500 from Rp 1,000.

The stock split will double the number of shares.

Eddy said net profit for the financial year rose 94 percent to Rp 60.5 billion ($26.37 million) from Rp 31.29 billion in the previous financial year.

Lippoland's major projects include the 2,360-hectare Lippo Karawaci township, 5,500-hectare Lippo Cikarang township, 218- hectare Carita Bay International Resort and 64-hectare Puncak Resort.

"Lippoland managed to cut its net debt-to-equity ratio from 125 percent to 62 percent," he said following the shareholders' meeting.

The company, with a market capitalization over Rp 1.2 trillion, will refinance its short-term debt into long-term debt while reducing its overall debt, he said.

Lippoland's total assets fell to $550.07 million in June from $1.08 billion in June 1995. Its total revenue fell from $98.64 million in the 1995/1996 financial year to $65,89 million this financial year.

Profits rose mainly because operating expenses declined and other income sources rose, he said.

Meanwhile, a publicly-listed subsidiary of Lippoland, Lippo Karawaci, announced in its shareholders' meeting yesterday that it had recorded a 43-percent increase in profits to Rp 101 billion for the financial year ending in June.

The shareholders' meeting approved a Rp 15.2-billion dividend yesterday.

Lippo Karawaci, with a market capitalization of Rp 1 trillion, recorded a 54-percent increase in sales revenue to Rp 351 billion. (pwn)