JAKARTA (TheInsiderStories) - Indonesian cigarette maker PT Hanjaya Mandala Sampoerna Tbk (IDX:HMSP) said on Monday that it’s net profit in 2016 reached Rp12.76 trillion, represents an increase of 23 percent from previous year of Rp10.36 trillion.
Additionally, the revenus in 2016 reached Rp95.47 trillion, up to 7 percent from Rp89.07 trillion in previous year.
“The growth was driven by higher interest income and the efficiency in advertising and promotion spending, which was quite shocking,” Adrian Joezer and Lakshmi Rowter, analysts of Mandiri Sekuritas said in its research note on Tuesday (March 3).
The financial income, which was mainly contributed from interest income, has jumped 8 times, to Rp854.07 billion last year.
Meanwhile, the other expenses and finance costs declined by 55% and 84% respectively (yoy), to Rp108.71 billion and Rp22.32 billion.
Mandiri Sekuritas has raised the target price of HMSP to Rp4,000 per share from Rp3,850 per share previously.