State construction firms' revenue predicted to rise

JAKARTA (JP): Minister of Public Works Radinal Moochtar predicted that the revenue of 19 state enterprises under the supervision of his ministry would increase by 22 percent to Rp 5.34 trillion (US$2.22 billion) this year, from Rp 4.39 trillion last year.

Radinal said the increase in revenue would be generated mainly by the new business operations conducted by several companies which had engaged in diversification.

"Some construction companies are expanding their businesses into the property and building materials industry," he was quoted by Bisnis Indonesia daily as saying over the weekend.

He predicted that PT Pembangunan Perumahan, which operates mainly in the construction business, would generate the largest revenue among the state companies under his ministry's supervision.

PT Pembangunan Perumahan is expected to record Rp 1.045 trillion in revenue.

PT Pembangunan Perumahan has established several joint ventures, including PT PP-Taisei and PT Inti Karya Persada Technique, he said.

Infrastructure construction company PT Wijaya Karya is expected to increase its revenue to Rp 689.6 billion, he said.

He said the company had also set up joint ventures, including Wika NGK Insulator, Percon-Wika Concrete, PT Kias Inter Trada and PT Sinarwijaya Ekapratista.

Radinal predicted that PT Waskita Karya's revenue would reach Rp 626.1 billion.

He projected the revenue of public housing developer Perum Perumnas at Rp 586.9 billion, toll road operator PT Jasa Marga at Rp 585.7 billion, PT Adhi Karya at Rp 570 billion, and PT Hutama Karya at Rp 470 billion.

PT Hutama Karya has also set up a construction joint venture with Takenaka Corp. of Japan, called Hutama Takenaka Co.

He also predicted that the revenue of PT Brantas Abipraya would reach Rp 101.7 billion; PT Istaka Karya, Rp 211.6 billion; PT Nindya Karya, Rp 266.5 billion; PT Bina Karya, Rp 21.7 billion; PT Indah Karya, Rp 18.2 billion and PT Indra Karya, Rp 15.87 billion. (02)