Sampoerna's profit fall

Sampoerna's profit fall

JAKARTA (Dow Jones): PT Hanjaya Mandala Sampoerna, Indonesia's second largest cigarette producer, said Tuesday its net profit fell about 28 percent to Rp 1.02 trillion in 2000, from Rp 1.41 trillion the previous year.

The company attributed the fall in its net profit to foreign exchange losses amounting to Rp 469.7 billion from the weaker rupiah and an increase in its tax burden. The tax on its total revenue was raised to 51 percent in 2000, from 48 percent the previous year.

Sales rose to Rp 10.05 trillion, from Rp 7.41 trillion the previous year, the company said.

Sampoerna said its share in the national cigarette market expanded to 19.7 percent at the end of last year, from 13.9 percent at the end 1999, thanks to continuing strength in the company's leading handrolled cigarette brand Dji Sam Soe, and strong production growth at other Sampoerna units.