Polysindo's profit drops

JAKARTA (JP): Publicly listed PT Polysindo Eka Perkasa, the country's largest integrated producer of polyester, announced a 81 percent decline in its net profit to Rp 32 billion (US$4.2 million) in 1997, down from Rp 169.80 billion in 1996.

The company announced yesterday that the sharp decline in net profit was caused by large foreign exchange losses.

"The rupiah's sharp depreciation severely reduced our net profit to Rp 32 billion after charging a net foreign exchange loss of Rp 403 billion to current operations," the company said.

However, the company's net sales increased 55 percent to Rp 2.17 trillion in 1997 from Rp 1.42 trillion in 1996, the company said.

The company said its operating profit rose 45 percent to Rp 560 billion in 1997 from Rp 386.02 billion in 1996.

Polysindo Eka Perkasa is part of the Texmaco Group in Indonesia with more than 35 years experience in polyester. (aly)