Gresik aims to lift income 10 per cent, Indonesia

Gresik aims to lift income 10 per cent, Indonesia
Published: 20 April 2005

Indonesia’s largest cement producer PT Semen Gresik is aiming to increase its net income and profit by 10 per cent this year compared with last year.  

The company reported an increase in net income to Rp6.67 trillion (US$709m) last year from Rp5,449 trillion in the previous year with net profit rising 39.5 per cent to Rp520.5 billion .  

This year the market is predicted to continue to expand despite a 5-6 per cent hike in price, its President Satriyo said.

Satriyo said the price hike is inevitable with the increases in the prices of coal fuel and transport cost , adding, distribution accounts for 20 per cent-30 per cent of cement production cost.  

He said his company has carried out surveys for place to build a new factory with an annual capacity of 3Mt needed to meet growing demand.  

He estimated that the country will need up to 33Mt of cement this year as against the country’s production capacity of 45Mt.