Jakarta, 27 August 2018
SMBR has booked cement sales in July 2018 with a total of 189,701 tons or an increase of 82% compared to last year of 104,314 tons. National cement sales in July increased by 12% compared to last year due to July last year there was an Eid al-Fitr holiday so that the increase in July this year was a reflection of the normalization of sales from the previous month which was hampered by many holidays. In total sales in June and July this year, SMBR’s cement sales grew 43% to 293,176 tons compared to June and July sales of 204,335 tons while national cement sales (June and July 2018) only rose 3.16% to 9,666 .289 tons.
Cumulatively, until July 2018 SMBR’s cement sales reached 1,058,231 tons or grew 36% on an annual basis. The Company’s market share has increased in all marketing areas such as in South Sumatra by 53.3% from the previous 48.9%. In Lampung, the Company has become the market leader for the first time in the last five years with a market share of 24.4% while market share in Jambi has doubled to 12.1% compared to last year of 6.9%. In Bengkulu, There was also a market share increased to 6.1% from the previous 4.5%. Since the end of 2017, SMBR has also entered a new marketing area in Bangka Belitung and currently the market share has reached 5.6%. “The growth of SMBR sales volume up to July 2018 (36%) is the best among other listed cement company” said Rahmad Pribadi, President Director of the Company. The growth of SMBR’s sales volume will continue to go hand in hand with the increasing number of truck fleets and additional cement shipping quota by train with the opening of the Baturaja-Panjang route to support sales in Lampung province in the second semester of this year.
First Semester Performance 2018
In the first six months of this 2018, SMBR has managed to record revenues of Rp.783.5 billion, a 25% growth compared to last year’s Rp.627.4 billion. In the midst of increasing coal price conditions, the Company was able to perform efficiency through the cost leadership initiative program such as reducing the clinker factor and optimizing the energy efficient Baturaja II Plant which made COGS / ton cement of the Company fell 6% compared to last year.
The efficiency of the Company in the first semester of this year has an impact on the improvement in profit margins and being the highest in the industry. The Company’s gross profit grew 25.2% to Rp.237.5 billion with Gross Profit Margin of 30.3% while the average GPM industry was 28.3%. In EBITDA, the Company posted an increase of 38.4% to Rp. 173.9 billion with EBITDA Margin of 22.2% while the industry’s EBITDA Margin average was 16.6%.
SMBR currently has a cement production capacity of 3.85 million tons / year after the operation of the Baturaja II Plant which has a cement production capacity of 1.85 million tons / year in September last year. With the new plant, the Company targets to continue to increase sales volume to increase plant utilization which is targeted to reach 60-65% of the Company’s total cement production capacity this year.