Holcim Indonesia swings to profit in 2006 on strong rupiah

Holcim Indonesia swings to profit in 2006 on strong rupiah
Published: 16 March 2007

PT Holcim Indonesia, a unit of Swiss cement maker  Holcim Ltd, returned to profitability in 2006 as foreign exchange gains offset weaker operating results.  
 
Holcim said it booked net profit of IDR175.95bn  last year against a loss of IDR334.08bn in 2005.  
 
Thanks to a stronger rupiah, the company posted forex gain of 383.12 bln rupiah last year, reversing a loss of IDR247.19bn in 2005, as the firmer currency reduced payments on its dollar-denominated debt.  
 
That helped the cement manufacturer post IDR234.98bn in net other income for the past year against IDR331.52bn in net charges the year before.  
 
Holcim Indonesia said its full-year sales dropped to IDR2.99trn  from IDR3.02trn while production costs rose to IDR2.36trn  from IDR2.29trn in the previous year.  
 
As a result, its operating profit plunged to 6.18 bln rupiah last year from IDR143.10bn in 2005.