Sunday, 20 June 2021 | 23:30 WIB

Holding of Perkebunan Nusantara Records Profit of IDR921 Billion in October 2017

PTPN XI's office.

JAKARTA, NETRALNEWS.COM – Holding of Perkebunan Nusantara or PTPN III (Persero) has recorded a consolidated net profit of IDR921 billion per October 2017 compared to the same period in 2016, which lost IDR806 billion.

The improved performance is due to a number of factors such as changes in work culture, increased sales, crop productivity, and efficiency to reduce the cost of goods, as well as rising commodity prices.

"Holding of Perkebunan Nusantara PTPN III is also able to record sales increase to IDR28.2 trillion, growing 4.89 percent compared to the same period in 2016 of IDR26.9 trillion, amid rising commodity prices," said Dasuki Amsir, President Director of PTPN III, Tuesday (11/14/2016), in an official statement.

He explained that the increase in sales is supported by increased productivity of fresh fruit bunches (FFB) of 12.06 percent, own garden of Crude Palm Oil (CPO) of 8.50 percent, and Kernel own garden by 3.57 percent compared to the same period in the last year.

According to him, in terms of operational management improvements are also able to record net operating cash flow worth IDR1.6 trillion, an increase of 31.84 percent compared to the same period in 2016 amounting to IDR1.2 trillion.

Meanwhile, the company's earnings before tax, interest, depreciation, and amortization (EBITDA) margins are fundamental to improved financial performance. "As of October 2017, the Company's EBITDA increased by 15.55 percent to IDR6.2 trillion compared to the same period of 2016 of IDR5.4 trillion," said Dasuki.

He asserted, this impressive performance improvement shows that the corporate turnaround program has been running on track.

"The company has also managed to perform efficiencies in all operational lines. For example, through the use of e-procurement until October 2017, the company managed to make efficiency 6.42 percent, "he said.

 The Financial Restructuring Program aimed at improving the performance and repayment capacity has also helped to foster financial performance in all PTPN.

Some PTPNs that had experienced losses, are now experiencing improved financial performance shown by decreasing loss compared to the same period in 2016.

"For example in PTPN I from IDR105 billion loss in 2016 fell to IDR45 billion in 2017," he said.