JAKARTA (TheInsiderStories) – Diversified group PT Astra International Tbk (IDX:ASII) booked net profit of Rp18.88 trillion in 2017, increased 25 per cent from Rp15.16 trillion in the previous year. The surge of financial service division’s net profit offset the decline of automotive and infrastructure.

The company posted sales of Rp206.1 trillion in 2017, up 14 per cent from Rp181.08 trillion in the previous year. The rise in bottomline lifted the company’s earnings per share to Rp466 per share compared to Rp374 per share in previous year.

Overall, automotive division remains the main contributor to the company’s bottomline, having booked net profit of Rp8.87 trillion, fell 3 per cent from Rp9.17 trillion in previous year. The 32-per cent rise of automotive component net profit to Rp551 billion could not compensate the decline in overall automotive division’s net profit.

Last year, the country’s car sales totaled 1.1 million units, little changed from the prevous year. Astra’s car sales, however, edged down by 2 per cent to 579,000 units and its market share also edged lower to 54 per cent from 55 per cent in previous year.

Infrastructure and logistic division recorded net loss of Rp231 trillion, compared to net profit of Rp263 trillion in previous year, largely due to losses in the operation of Cikopo-Palimanan toll road.

Financial service division, however, made an impressive performance. The division booked net profit of Rp3.75 trillion, surged 376 per cent from Rp789 billion in previous year.

The solid performance in financial service was boosted by the increase net profit of its financial companies, mainly PT Bank Permata Tbk, PT Astra Sedaya Finance, PT Federal International Finance (FIF) and PT Asuransi Astra Buana (AAB).

Bank Permata, in which Astra International owns 44.6 per cent, recorded net profit of Rp748 billion, after booked huge loss of Rp6.5 trillion in previous year.

Astra’s heavy equipment, mining, construction and energy division booked net profit of Rp4.47 trillion, the second largest contributor to the company’s profit, up 47 per cent from previous year. The agribusiness division contributed Rp1.6 trillion net profit, unchanged from previous year, information technology contributed Rp198 billion (up 1 per cent) and property contributed Rp223 billion (up 101 per cent).

The company’s President Director Prijono Sugiarto expects the performance of the company to improve this year, on the back of expected improved economic growth and the rise of commodity prices including coal.

Email: roffie.kurniawan@theinsiderstories.com