Texmaco, Polysindo post losses

JAKARTA (JP): Widely diversified Texmaco Group announced on Monday a net loss of Rp 1.749 trillion for its publicly listed textile manufacturing unit PT Polysindo Eka Perkasa in 1998.

Texmaco said in a statement the massive loss was primarily on account of unrealized foreign exchange losses and an increased interest burden.

"The company's financial results were severely affected by the sharp depreciation of the rupiah and the general downturn in the industry," Texmaco said.

Company sales increased to Rp 3.63 trillion last year, from Rp 2.176 trillion in 1997.

Company direct exports amounted to US$184 million in value in 1998, accounting for 50 percent of the net sales.

Texmaco also said its publicly listed machinery manufacturing unit, Texmaco Perkasa Engineering, recorded a net loss of Rp 106.77 billion in 1998 against a net profit of Rp 18.9 billion in the previous year, despite an operating profit of Rp 320.46 billion last year.

Texmaco also blamed the loss on the rupiah's depreciation and high interest burdens.

Texmaco Perkasa recorded a turnover of Rp 732.8 billion in 1998, up from Rp 559.7 billion in the previous year.

Texmaco Perkasa exports reached $23.8 million in 1998, Texmaco said.(jsk)