REG - Jardine Matheson Hdg - PT Astra 2023 Third Quarter Financial Statements

Jardine Matheson HoldingsAnnouncement

31/10/2023 12:00

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RNS Number : 8922R  Jardine Matheson Hldgs Ltd  31 October 2023

 

To:  Business Editor
                        31st October 2023

 
                                           For immediate
release

PT Astra International Tbk
2023 Third Quarter Financial Statements

The following announcement was issued today by the Company's 77.7%-owned
subsidiary, Jardine Cycle & Carriage Limited, which holds 50.1% of PT
Astra International Tbk.

For further information, please contact:

Jardine Matheson Limited

Jonathan Lloyd
                                 (852) 2843 8223

Brunswick Group Limited

Ben Fry
                                          (65) 9017 9886

31st October 2023

PT ASTRA INTERNATIONAL Tbk ("the Company" or "Astra")
2023 Third Quarter Financial Statements

Highlights

●      Net earnings per share of Rp644, 17% higher than the same period
last year (excluding fair value adjustments on the Group's investments)

●      Higher contributions from most businesses

●      Car and motorcycle sales up by 2% and 39%, respectively

"The Group's results in the first nine months of 2023 were encouraging,
reflecting continued recovery post-pandemic. We expect the Group to remain
relatively resilient amid global economic uncertainties and to continue to
deliver satisfactory results for the remainder of the year with growth
moderating in the last quarter."

Djony Bunarto Tjondro

President Director

Astra group ("Group") Results

                                                                                 For the period ended 30th September
                                                                                 2023                       2022                       Change

Rp bn
Rp bn                     %
 Net revenue                                                                     240,913                    221,354                    9
 Net income* (before fair value adjustments on investments in GoTo and Hermina)  26,069                     22,249                     17
 Net income*                                                                     25,691                     23,330                     10
                                                                                 Rp                         Rp
 Net earnings per share* (before fair value adjustments on investments in GoTo   644                        550                        17
 and Hermina)
 Net earnings per share*                                                         635                        576                        10
                                                                                 As at 30th September 2023  As at 31st December 2022   Change

Rp bn
Rp bn
%
 Shareholders' funds                                                             190,789                    192,142                    (1)
                                                                                 Rp                         Rp
 Net asset value per share                                                       4,713                      4,746                      (1)

*Profit attributable to owners of the parent.

 

The financial results for the nine months ended 30th September 2023 and 2022,
as well as the financial position as at 30th September 2023, have been
prepared in accordance with Indonesian Financial Accounting Standards and are
unaudited. The financial position as at 31st December 2022 has been prepared
in accordance with Indonesian Financial Accounting Standards and audited in
accordance with the auditing standards established by the Indonesian Institute
of Certified Public Accountants.

President Director's Statement

Performance
The Group's consolidated net revenue in the first nine months of 2023 was
Rp240.9 trillion, 9% higher than the same period last year. The Group's net
income, excluding fair value adjustments on investments in GoTo and Hermina,
was Rp26.1 trillion, 17% higher than the same period last year. This earnings
growth reflects improved performances from most of the Group's business
divisions, especially the automotive and financial services divisions.
Including fair value adjustments on GoTo and Hermina, the Group's net income
increased by 10% to Rp25.7 trillion compared to the first nine months of 2022.

The net asset value per share at 30th September 2023 was Rp4,713, 1% lower
than at 31st December 2022.

Net cash, excluding the Group's financial services subsidiaries, was Rp14.6
trillion at 30th September 2023, compared with Rp35.1 trillion at the end of
2022. Net debt of the Group's financial services subsidiaries was Rp50.4
trillion at 30th September 2023 compared with Rp44.5 trillion at the end of
2022.

Business Activities
The Group's net income by division in the first nine months of 2023, compared
with the same period last year, is set out in the table below:

                                                                                 Net Income by Division
                                                                                                     For
                                                                                                     the
                                                                                                     per
                                                                                                     iod
                                                                                                     end
                                                                                                     ed
                                                                                                     30t
                                                                                                     h
                                                                                                     Sep
                                                                                                     tem
                                                                                                     ber
                                                                                 2023      2022      Change

Rp bn
Rp bn
%
 Automotive                                                                      9,167     6,790     35
 Financial Services                                                              5,857     4,413     33
 Heavy Equipment, Mining, Construction and Energy                                9,431     9,533     (1)
 Agribusiness                                                                    638       969       (34)
 Infrastructure and Logistics                                                    766       386       98
 Information Technology                                                          96        49        96
 Property                                                                        114       109       5
 Net Income* (before fair value adjustments on investments in GoTo and Hermina)  26,069    22,249    17
 Fair value adjustments on investments in GoTo and Hermina                       (378)     1,081     N/A
 Net Income*                                                                     25,691    23,330    10

*Profit attributable to owners of the parent.

 

Automotive
Net income from the Group's automotive division increased by 35% to Rp9.2
trillion, reflecting higher sales volumes.

●      The wholesale car market in the first nine months of 2023 was
relatively stable at 755,000 units (source: Gaikindo). Astra's car sales were
2% higher at 421,000 units, and its market share increased from 55% to 56%.
Sixteen new models and eight revamped models were launched during the period,
including the Lexus RZ, a battery electric model ("BEV"), and the Toyota Yaris
Cross and Toyota Alphard, two hybrid electric models ("HEV"). The Group now
sells six BEV models and thirteen HEV models in Indonesia, under Toyota, Lexus
and BMW.

●      The wholesale market for motorcycles grew by 31% to 4.7 million
units in the first nine months of 2023 (source: Ministry of Industry). Astra's
Honda motorcycle sales amounted to 3.7 million units, 39% higher than the same
period last year, during which the business was impacted by production
constraints caused by semiconductor supply issues. This was also reflected in
its market share, which increased from 74% to 79%. Three new models and nine
revamped models were launched during the period, including a new BEV model,
the EM1e.

●      The Group's 80%-owned components business, Astra Otoparts,
reported a 58% increase in net income to Rp1.3 trillion in the first nine
months of 2023, mainly due to higher revenue from the original equipment
manufacturer segment.

Financial Services
Net income from the Group's financial services division increased by 33% to
Rp5.9 trillion in the first nine months of 2023, due to higher contributions
from consumer finance and general insurance.

●      The Group's consumer finance businesses saw a 20% increase in new
amounts financed to Rp89.0 trillion. The net income contribution from the
Group's car-focused finance companies increased by 28% to Rp1.7 trillion,
while the net income contribution from the Group's motorcycle-focused finance
company, Federal International Finance, increased by 31% to Rp3.0 trillion.
Both improvements were due to larger loan portfolios and lower loan loss
provisions.

●      The Group's heavy equipment-focused finance companies recorded a
3% increase in new amounts financed to Rp8.4 trillion. The net income
contribution from these businesses increased by 89% to Rp134 billion, mainly
due to larger loan portfolios.

●      General insurance company Asuransi Astra Buana reported a 12%
increase in net income to Rp1.0 trillion, reflecting higher underwriting and
investment income. The Group's life insurance company, Astra Life, recorded 7%
higher gross written premiums at Rp4.4 trillion.

Heavy Equipment, Mining, Construction and Energy
Net income from the Group's heavy equipment, mining, construction and energy
division in the first nine months of 2023 was 1% lower at Rp9.4 trillion,
mainly due to lower contributions from its coal and gold mining businesses.

●      59.5%-owned United Tractors reported a 3% decrease in net income
to Rp15.3 trillion.

●      Komatsu heavy equipment sales decreased by 4% to 4,400 units,
while there was higher revenue from the parts and service businesses.

●      Mining contractor Pamapersada Nusantara recorded a 23% increase in
overburden removal volume at 853 million bank cubic metres and a 16% increase
in coal production at 96 million tonnes.

●      United Tractors' coal mining subsidiaries recorded a 10% increase
in coal sales to 8.5 million tonnes, including 1.8 million tonnes of
metallurgical coal, but revenue declined by 2% due to lower coal prices.

●      Agincourt Resources, 95%-owned by United Tractors, reported 32%
lower gold sales at 147,000 oz.

●      General contractor Acset Indonusa, 87.7%-owned by United Tractors,
reported a lower net loss of Rp151 billion, compared with a net loss of Rp227
billion in the first nine months of 2022.

Agribusiness
Net income from the Group's agribusiness division in the first nine months of
2023 decreased by 34% to Rp638 billion, largely due to lower crude palm oil
("CPO") selling prices.

●      The net income of 79.7%-owned Astra Agro Lestari decreased by 34%
to Rp801 billion.

●      CPO and derivative product sales increased by 18% to 1.3 million
tonnes.

●      CPO prices were 16% lower at Rp11,153/kg.

Infrastructure and Logistics
The Group's infrastructure and logistics division reported a 98% increase in
net income to Rp766 billion in the first nine months of 2023, due to improved
performance in its toll road, transportation solutions and logistics
businesses.

●      The Group has interests in 396km of operational toll roads along
the Trans-Java network and in the Jakarta Outer Ring Road. The Group's toll
road concessions saw 6% higher daily toll revenue during the period.

●      Serasi Autoraya's net income increased by 28% to Rp152 billion,
mainly due to an improved operating margin and a 2% increase in vehicles under
contract to 25,400 units, which more than offset a lower contribution from
used car earnings.

Information Technology
The Group's information technology division, represented by 76.9%-owned Astra
Graphia, reported a 96% increase in net income to Rp96 billion, primarily due
to improved operating margin and higher revenue.

Property
The Group's property division reported a 5% increase in net income to Rp114
billion, mainly due to a higher number of units handed over in Arumaya
Residences and an improvement in occupancy at Menara Astra.

Recent Corporate Actions

●      In August, the Group, through United Tractors, signed a
subscription agreement to acquire 40.476% of new shares issued by Supreme
Energy Sriwijaya ("SES") for USD42.3 million. SES is a 25.2% shareholder of
Supreme Energy Rantau Dedap, which owns a license to operate geothermal with
an existing capacity of 2 x 49 MW that is already in operation in South
Sumatera. Completion of the transaction is subject to certain conditions
precedent.

●      In September, the Group, through United Tractors, completed a
transaction to subscribe for a 19.99% shareholding in Nickel Industries
Limited ("NIC") for AUD942.7 million. NIC, which is listed on the Australian
Securities Exchange, is an integrated nickel mining and processing company
with major assets located in Indonesia.

Prospects
The Group's results in the first nine months of 2023 were encouraging,
reflecting continued recovery post-pandemic. We expect the Group to remain
relatively resilient amid global economic uncertainties and to continue to
deliver satisfactory results for the remainder of the year with growth
moderating in the last quarter.

Djony Bunarto Tjondro

President Director

31st October 2023

For further information, please contact:

PT Astra International Tbk

Riza Deliansyah, Chief of Corporate Affairs

Tel: +62 - 21 - 5084 3888

 

 

About Astra

Astra is one of Indonesia's largest public companies, comprising 274
subsidiaries, joint ventures, and associate companies, supported by more than
200,000 employees. The company's diversified business model creates synergies
and opportunities across industry sectors including automotive, financial
services, heavy equipment, mining construction and energy, agribusiness,
infrastructure and logistics, information technology, and property. The
company has a new sustainability framework which includes Astra's 2030
Sustainability Aspirations. It will guide Astra in the transition journey to
be a more sustainable business by 2030 and beyond. Astra wishes to contribute
to the strength and resilience of the Indonesian economy while supporting an
inclusive and prosperous society.

 

Astra has a strong record of public and social contributions through four
pillars, which consist of health, education, environment, and entrepreneurship
as well as nine foundations to contribute to the growth of the Indonesian
economy while encouraging a more inclusive and prosperous society. Established
in 2010, Astra's Semangat Astra Terpadu Untuk (SATU) Indonesia Awards
programme, has recognised the contribution of 365 young Indonesians across
each of these focus areas, including 87 national level and 487 provincial
level recipients. The SATU Indonesia Awards programme is integrated with
Astra's wide range of community activities through 170 Kampung Berseri Astra
and 1,060 Desa Sejahtera Astra initiatives in 34 provinces throughout
Indonesia.

 

For more about Astra, visit www.astra.co.id & www.satu-indonesia.com, and
follow us on Instagram (@SATU_Indonesia), YouTube (SATU Indonesia), Facebook
(Semangat Astra Terpadu) and Twitter (@SATU_Indonesia).

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