Semen Indonesia Strengthens Exports to Boost Revenue

Jakarta (ANTARA) - PT Semen Indonesia (Persero) Tbk (SIG) is strengthening exports to international markets to increase revenue, broaden business opportunities, and optimise factory utilisation amid domestic cement industry competition. “One of SIG’s main focuses at present is to strengthen export market penetration,” said SIG Corporate Secretary Vita Mahreyni, in a statement in Jakarta on Friday. She conveyed that export market penetration serves as a strategic step to enhance factory utilisation and expand market opportunities for value-added derivative products. Through its subsidiary PT Solusi Bangun Indonesia Tbk together with Taiheiyo Cement Corporation, SIG has completed the development project for an export dock and production facilities in Tuban, East Java, targeted to begin operations in mid-2026. These facilities will become the company’s export strengthening base while opening opportunities to improve business margins amid increasingly tight domestic market competition. “The completion of the Tuban export facilities marks an important milestone for SIG to strengthen its position in the international market,” Vita stated. She emphasised that exports will serve as a strategic instrument to optimise utilisation while supporting the company’s profitability growth. Amid market conditions still overshadowed by overcapacity, the company has successfully maintained performance growth momentum while preparing new growth engines through export market strengthening. In the first quarter of 2024, the company recorded revenue of Rp8.29 trillion, up 8.3% year-on-year (yoy), with attributable profit for the period to the parent entity’s owners increasing significantly by 88.7% to Rp80 billion. Sales volume also rose 1.7% yoy to 8.71 million tonnes. Vita said this achievement demonstrates that the transformation strategy implemented by the company has successfully maintained business resilience while strengthening the foundation for long-term growth. “SIG is not only focused on maintaining short-term performance but also building new, more sustainable growth sources. The disciplined business transformation has successfully enhanced the company’s competitiveness amid industry challenges,” Vita remarked. On the operational side, the company is also continuing to strengthen transformation effectiveness through micro-market management, product portfolio optimisation, and cost efficiency. These strategies have helped the company maintain performance amid rising energy prices and domestic market demand that is only beginning to show signs of recovery at the start of this year. In addition to recording 5.4% yoy domestic sales growth, the company also succeeded in reducing net financial costs by 35.4% yoy through more optimal financial management.