- CONSOLIDATED NET SALES GREW 21.3%
- OPERATING PROFIT UP 6.9% TO Rp994.03 BILLION
- NET INCOME GREW 37.1% TO Rp367.18 BILLION
- CORE PROFIT INCREASED TO Rp383.43 BILLION
Jakarta, August 30, 2007 – PT. Indofood Sukses Makmur Tbk (“Indofood”) today announced its financial results for the first semester ended June 30, 2007, reporting consolidated net sales of Rp12.30 trillion, a 21.3% increase compared to Rp10.14 trillion in same semester last year.
“Indofood, as a Total Food Solutions company with its four streamlined Strategic Business Groups (Consumer Branded Products, Bogasari, Edible Oils & Fats and Distribution), is in a better position to cope with market challenges,” said Anthoni Salim, the President Director and Chief Executive Officer.
Despite rising wheat, other raw materials and freight costs, Indofood delivered a 12.0% growth in gross profit of Rp2.58 trillion. However, gross margin declined to 21.0% due to margin contraction in the Consumer Branded Products and Bogasari Groups, while margin for Edible Oils & Fats and Distribution Groups expanded as a result of higher CPO price and improved efficiency.
Operating profit increased 6.9% to Rp994.03 billion, but operating margin declined to 8.1%. Despite the increase in minority interest, net profit increased 37.1% to Rp367.18 billion from Rp267.77 billion, principally due to significant reduction in net interest expense. Core profit increased to Rp383.43 billion from Rp298.33 billion.
Anthoni Salim concluded, “The rest of 2007 will continue to be challenging as raw material prices, particularly wheat show no sign of softening. We will continue to be vigilant in controlling our operating costs, increasing our operating efficiency as well as enhancing our marketing and distribution strategies. We trust, these initiatives combined with our commitment to deliver corporate excellence will yield sustainable results in the future”.