Tuesday, 19 November 2019 | 15:09 WIB

HK Metals Utama Targets Profit Growth to IDR143 Billion in 2019

HK Metals Utama Targets Profit Growth to IDR143 Billion in 2019 (special)

JAKARTA, NETRALNEWS.COM - PT HK Metals Utama Tbk (IDX:HKMU) targets the production of their main line of business, aluminum extrusion,to rise from 6,200 tons to 12,000 tons/year. The addition of production is believed to make the company's revenue and net profit higher than last year.

Pratama Girindra, Finance Director of HKMU, said the increase in production was in line with the addition of new engine units, as a realization of the use of proceeds from the Initial Public Offering (IPO) held by the company in October 2018.

"We are targeting that by the end of this year aluminum production will reach 12,000 tons with three new engine units operating," he explained in a public presentation in Jakarta on Monday (6/17/2019).

He said, with the increase in production, the company targets 2019 revenues to reach Rp1.6 trillion, higher than last year's Rp.865 billion.

In line with revenue, the company's net profit is targeted to increase from IDR 69 billion in 2018 to IDR 143 billion this year.

Meanwhile, total assets are expected to increase to Rp2.06 trillion in 2019 from Rp1.5 trillion the previous year. The company's equity is expected to increase to IDR 756 billion from IDR 621 billion in the same period.

He also said that 52% of the sales contribution was contributed by the aluminum segment, most of which equaled 29% came from sales of mild steel building materials.

Regarding exports, HKMU's Marketing Director Yudhi Sudarmanto explained, for this year, the company targets exports of 280 metric tons (MT) or 28% of total industrial sales.

So far, said Yudhi, the company has exported to the United States (US) and the Netherlands. Currently the company is also exploring exports to Australia and Canada.

"Currently the process of certifying DNV GL is a condition for export to Australia. The Australian side has come here, it is expected to be realized in the fourth quarter of 2018 to Australia," he explained.

PT HK Metals Utama Tbk (HKMU) was established on November 13, 2010. The shareholders owning 5% or more shares of HK Metals Utama Tbk, namely PT Hyamn Sukses Abadi, with a ownership percentage of 65.18%. Public shares amounted to 31.7%.

The scope of HKMU's business activities is in the field of light steel production and trade for property, construction and retail.

At present, HKMU has 6 subsidiaries (Reliable Aluminum Success PT, PT Bumimas Karya Persada, PT Rasa Langgeng Wira, PT Metaltama Perkasa Jaya, PT Hakaru Metalindo Perkasa and PT Dantool Karya Teknik) which are engaged in manufacturing and distributing products other than mild steel , including aluminum.

In addition, including PVC pipe products, ACPs, stainless pipes, toilets, and household appliances such as stairs, clothes racks, door hinges, toren water, bathtubs, water hoses, gutters, hollow iron, and several other types of products.