Timah's profit up five-fold

JAKARTA (JP): Publicly listed state-owned tin miner PT Tambang Timah reported on Thursday an almost five-fold increase in net profits to Rp 305.7 billion (US$40 million) during the first semester of this year from Rp 57.3 billion in the same period of last year.

The company's operating profits surged to Rp 649.7 billion from Rp 70.2 billion.

The soaring profits were boosted by the sharp depreciation of the rupiah against the U.S. dollar but tempered by the company's sales volume dropping 6.1 percent to 18,915 metric tons and the average price of tin slipping to a lower level than last year.

The tin prices received by the company during the first six months of this year averaged $5,589 per ton, a 4.6 percent decrease on the same period of last year.

"Lower tin prices were compensated by a higher U.S. dollar to the rupiah exchange rate, resulting in higher sales revenues," the company said in a statement.

On June 30, 1998, the rupiah was at 14,900 against the U.S. dollar, compared to 2,450 at the end of June last year. (rid)