PT United Tractors Tbk (IDX: UNTR), the unit of Astra Group, reported the heavy equipment sales dropped by 46.5 percent to 1,564 units from the previous year sold 2,926 units - Photo by Komatsu Indonesia

JAKARTA (TheInsiderStories) – PT United Tractors Tbk (IDX: UNTR), the unit of Astra Group, reported the heavy equipment sales dropped by 46.5 percent to 1,564 units in 2020, from the previous year sold 2,926 units, said the management today. For this year, the unit, PT Komatsu Indonesia, targeting to sell 1,700 units of the equipment.

In the same year, the issuer reported the coal sales reached 9.25 million tones through its business entity PT Tuah Turangga Agung. The realization was up 9.31 percent compared to 2019 at 8.46 million tones of coal.

The mining contractor unit, PT Pamapersada Nusantara, also reported the coal production volume and overburden removal throughout 2020 recorded 114.6 million tones and 825 million bank cubic meter, respectively. From the production side, this achievement was corrected 12.65 percent and dropped by 16.57 percent for the overburden removal business.

While, the other subsidiary, PT Agincourt Resources, has succeeded sold 319,700 troy ounces (oz) of gold, lower 21.9 percent than the same period of last year at 409,700 oz. In term of revenues, the largest contribution came from the mining sector by 36 percent, followed by the construction sector by 34 percent, the forestry sector 19 percent, and 11 percent from the agriculture sector.

 The sales was corrected by 47.9 percent compared to the sales volume in the same period last year of 2,843 units. The United Tractors’ heavy equipment market share was 30 percent. To note, in mid-August 2020 the miner has cut its target due to the operational restrictions of the Martabe gold mine amid the COVID-19 pandemic, from 400,000 oz to 360,000 oz.

In this year, the unit of PT Astra International Tbk (IDX: ASII), allocated a capital expenditure of US$290 million, especially for processing plant development, tailing management, and operation. Around 50 percent of the funds will be allocated to the mining contractor business segment for replacing obsolete heavy equipment.

According to the spokeswoman, Sara K. Loebis, the recovery in commodity prices its expecting could help the mining company businesses in this year. During 2021, Tuah Turangga Agung is targeting the sales volume around 9.5 million tones of coal and Pamapersada businesses to be flat or less than the 2020 realization.
United Tractors is a distributor of heavy equipment to the mining, construction, forestry and agriculture sectors, and a provider of mining contracting services to the coal sector in Indonesia. The company has three other segments focused on domestic coal production, gold mining and industrial and commercial construction. 
The publicly listed firm is 59.5 percent owned by Astra and the remaining hold by public and traded on the Indonesia Stock Exchange.
US$1: Rp14,000
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