Director & Corporate Secretary Oey Marcos assessed that in an uncertainty situation due to COVID-19 pandemic, Indocement will continue to be a cost-leader by making various efforts to reduce costs, such as increasing the use of coal with low calorific value and low prices, increasng the use of alternative fuels, and fixed cost efficiency.
“We also will be more focus on distributing cement in our main market as well as maximizing output volume from all existing cement terminal. We will focus to increase export volume too, both clinker and white cement,” Oey Marcos noted in a press release.
Sales in 2019 were at 8,405 million tons and in Q1 at 7,364 million tons. This means there was a difference of -12,4% or -1,042 million tons.
Export in 2019 amounted to 84 million tons and in 2020 at 36 million tons in Q1, so there was a decrease of -48 million tons or about -57.0%.
He exlpained that the company's market share in Q1 2020 was at the level 25,7% while maintaining the main market share in West Java, including Jakarta, 46,2% and for the whole Java 34,8%.
Read also: Kotabaru expects Pulau Laut bridge project to enter Prolegnas
Read also: Indocement Tarjun allots 28 sacrifice cows
Read also: Indocement improves rural infrastructure quality during the pandemic
The decline occurred in net income -11.6% lower than the percentage decline in sales volume due to the higher average selling price per tonne (consolidation) +0.9%.
The company set aside a decrease in the value of machanery and equipment which resulted in a decline in business profit of Rp73,5 billion in Q1 2020, and a strong balance sheet position with total cash and cash equivalent of Rp7,8 trillion to believe in the growth of cement demand that is better in Q2 2020.
Looking at the 2020 situation, there was a decline in domestic sales and as recorded by 7,3 million tons in Q1 or decreased by -11,9% (-994 thousand tons) lower than sales for the same period in the previous year.
Meanwhile, the domestic cement demand has also decreased -7,7% which resulted in the company's market share from 26,2% in Q1 2019 to 26,0% in Q1 2020.
Indocement's main market share in the West Java remained strong and increased over the previous year from 45,1% to 46,2%. While for the whole Java, the market share increased from 34,2% to 34,8% and Sumatra from 11,6% to 12,5%.
“The company's net income decreased -11,6% to Rp6,2 trillion compared to Rp7,0 trillion in Q1 2019 due to decreased volume," he said.
Indocement is one of the largest cement producer in Indonesia and currently Indocement and its subsidiaries are engaged in several business fields, including manufacturing and sale of cement as a core business and ready-mixed concrete, as well as aggregate and trass mining, with a total number of employees 5.200 people.
Indocement has 13 factories with a total capacity of annual production 24,9 million tons of cement. 10 factories are located in Citeureup, Bogor, West Java, two at Cirebon, Palimanan, West Java, and 1 factory at Tarjun, Kotabaru, South Kalimantan.
Pewarta: Imam HanafiEditor : Mahdani
COPYRIGHT © ANTARA 2026
Dilarang keras mengambil konten, melakukan crawling atau pengindeksan otomatis untuk AI di situs web ini tanpa izin tertulis dari Kantor Berita ANTARA.
