Semen Indonesia net income rises 11% YoY

Semen Indonesia net income rises 11% YoY
25 February 2014

Net income at Semen Indonesia rose 11 per cent in 2013 to IDR5.37trn (US$462m) from a year earlier as the company boosts sales through expansion and strengthens its market position.

A 24.5 per cent increase in sales to IDR24.5trn was recorded by Indonesia's largest cement producer last year. Domestic shipments rose 3.2 per cent to 25.4Mt. The surge in sales helped boost market share to 44 per cent last year from 41 per cent in 2012.

The company has recently expanded its Indarung plant in Padang, West Sumatra, and has also begun construction on its plant in Rembang, Central Java.  A new line in Tonasa, South Sulawesi, also started operating last year and was officially inaugurated last week.

Expanding its distribution network has also been a top priority and the company has built several packaging plants across the nation. It now operates 22 packing plants and 11 seaports, one of which is located in Vietnam.

This year’s additional production is expected to come from the Dumai cement mill, which, when it is operational, is projected to produce 900,000tpa.

The publicly listed company aims to produce 31.8Mt of cement across its operations, up by six per cent compared to 30Mt last year. It has set a long-term target of 40Mt cement in 2017.

Published under Cement News