Gresik to pay out 50% of 2010 net profits as dividends

Gresik to pay out 50% of 2010 net profits as dividends
Published: 29 June 2011

Indonesian state-owned cement producer PT Semen Gresik Tbk has announced it would distribute 50% from the net profit of IDR3.63trn earned last year as dividends to company shareholders. President Director Dwi Soetjipto of PT Semen Gresik yesterday said this would work out to IDR1.82trn or IDR306/piece.

He added the dividends announced include interim dividends of IDR344bn that have already been disbursed among company shareholders. The director further informed that IDR1.68trn from last year’s net profit would be set aside as reserve funds for business expansion activities, IDR67.2bn would be allocated for a partnership program while another IDR72.6bn would go for environment management works.

Semen Gresik’s net profit of IDR3.63trn for 2010 was up 9.2% from the IDR3.32trn recorded in the year-ago period. Going forward, the company intends allocating IDR7trn to IDR9trn for capital expenses for 2012, Finance Director Ahyanizarman of Semen Gresik informed. He said the company’s internal cash reserves would provide the funds which would go for setting up a new cement plant next year, estimated to cost about IDR3.5trn.