JAKARTA (TheInsiderStories) - Shareholders of cement producer, PT Semen Indonesia Tbk (IDX: SMGR), agreed to share dividend 40 percent of last year profit amounting to Rp1.12 trillion (US$77.78 million). In 2020, the state-owned firm posted net profit Rp2.79 trillion or rose 16.73 percent compared to the prior year amounting to Rp2.39 trillion.
Amid the intense competition in the domestic cement industry, the manufacturer has exports the products to various countries such as Australia, Bangladesh, Sri Lanka and China. In the field of building materials, the issuer has launched Masonry Cement products and digital marketing in several platforms such as Sobat Bangun, Shop Access and Official Store.
Semen Indonesia also plans to utilize waste products such as coal fly ash and bottom ash (FABA). The director of the company, Fadjar Judisiawan, said that his party has a road map to to increase the use of FABA 2.5 million tones (MT) per year for a mixture in the raw mill. Throughout 2020, the use of non-cement grade FABA by the producer around 926,000 tones and the use for the cement grade category is around 600,000 tones.
For the major cement producer in the country, strengthened its domestic footprint through the acquisition of the third largest cement company in the country, PT Holcim IndonesiaTbk (IDX: SMCB) with four cement plants with capacity of 14.8 MT per annum capacity and 30 ready-mix plants. The acquisition will provide the producer with a significantly larger capacity and broader product portfolio and geographical footprint to fully capitalize on these tremendous growth opportunities in the domestic market.
The fresh funds from this corporate action will be used by the unit to increase the company’ working capital. Solusi Bangun established in 1971 and has four cement plants located in Lhok Nga (Aceh), Cibinong (West Java), Cilacap (Central Java), and Tuban (East Java) and distribution terminals in Sumatera and Kalimantan. While, its holding, Semen Indonesia was established in 1957 in Gresik, Indonesia.
In 1995, Semen Indonesia consolidated with PT Semen Padang and PT Semen Tonasa and was known as Semen Gresik Group. The company become publicly listed on the Indonesia Stock Exchange since 1991. 51 percent of the shares are owned by the government and the remaining 49 percent.
US$1: Rp14,400
Written by Staff Editor, Email: theinsiderstories@gmail.com
