Mulia expects robust growth in 1995 sales

Mulia expects robust growth in 1995 sales

JAKARTA (JP): Mulia Industrindo, a manufacturer of glass and ceramic tiles, listed on the Jakarta and Surabaya stock exchanges, expects a sharp increase in sales this year on higher demand and production capacities, an executive of the company said.

Hendra Heryadi, the company's marketing director, said Tuesday the estimated higher sales volume is expected to nearly double the net profits to Rp 65 billion (US$29.5 million) this year from Rp 37 billion in 1994.

Hendra said the demand for ceramic tiles and flat glasses will continue to increase in line with a continued growth in the construction of housings, apartments and office buildings in the country.

"The demand for glass containers is expected to strengthen on the impact of the estimated 20 percent growth in the food and beverage industry," he told the company's annual shareholders meeting.

The meeting endorsed the company's 1994 balance sheet and the company's proposal to pay a cash dividend of Rp 40 per share (1.8 U.S. cents).

Mulia Industrindo, 80 percent owned by the widely diversified Mulia Group and 20 percent by the public, produces 3,700 square meters of ceramic tiles per day, 600 tons of glass containers per day and 600 tons of flat glass per day.

The company reported a 47 percent rise in its sales revenue in 1994 to Rp 234.79 billion, while its operating incomes soared by around 96 percent to Rp 71.53 billion.

The net profits for the book year, ended on Dec. 31, rose by 229 percent to Rp 37 billion from Rp 11.26 billion in the previous year.

Hendra said about Rp 9 billion of the total net profits would be distributed as dividends to shareholders and the remainder would be used to strengthen the company's capital structure. (hen)