SIG recorded a strong performance in the midst of demand contraction, competition and increasing fuel cost
Challenges
Actions
Financial Performance
Cement Demand*
Adjusting
Blended ASP Domestic
2nd Quarter 2022
National
(thousand ton)
-6.2%
price up
(IDR thousand)
1.8%
3.6%
cement
17.3%
demand
22,780 21,360
inline with
7.4%
4.0%
Increase in EBITDA
Increase in absolute
contracted by
6,220 7,294
cost push
871
935
875
910
margin
22.2%
EBITDA
1.2%
20.4%
(IDR billion)
Bag
Bulk
1,661
1,720
YTD Jun 21
YTD Jun 22
2Q
1H
2021
2022
Market Share
Coal Price Increase yoy
Agressive
Securing coal
2Q
2Q
2Q
2Q
tier 2
75% 72%
supply at
50%
25% 28%
32%
2021
2022
2021
2022
players
DMO price
1st Half 2022
Tier 1
Tier 2
0.4%
4.4%
1H 2021
1H 2022
2Q 2022
1H 2022
Increase in EBITDA
Increase in net
margin
profit**
High coal
Indonesian
~83%
Efficiency
Clinker Factor & TSR (%)
(IDR billion)
price
yoy increase in
through
21.9%
22.3%
impacting
Coal Index 4
70%
69%
(USD/Ton)
1H-22
clinker factor
794
829
COGS
100
reduction and
5.1%
6.8%
50
TSR
0
Clinker Factor
TSR
Jan-21Mar-21Mei-21Jul-21Sep-21
Nov-21
Jan-22Mar-22Mei-22Jul-22
1H
1H
1H
1H
1H 2021
1H 2022
2021
2022
2021
2022
tons, up to June 2022: 706,7 thousand tons
*Source: Demand data up to June 2022 from Indonesia Cement Association (excluding Singa Merah). Singa Merah sales volume June 2022: 155,8 thousand
1
**attributed to owners of parent entity
1ST HALF 2022 PERFORMANCE
1ST HALF 2022 PERFORMANCE YOY
Ability to manage the impact of coal price hike, supported by ASP adjustment and deleveraging, resulting improvement in profitability
(in IDR billion)
Domestic
1.8%
13,883 14,129
1H 2021
1H 2022
Higher Domestic Revenue yoy
▼2.1%
Total Revenue contraction yoy
16,213
15,876
Flat
COGS despite fuel cost increase
11,465
11,466
▼ 8.2%
▼ 23.9%
Lower operating
Decrease in finance
expenses
cost
0.4%
EBITDA margin growth
4.4%
Improvement in net profit*
829
Regional
-25%
2,330
1,747
1H 2021
1H 2022
Lower Regional Revenue yoy, however ASP grew by 25%
1H
1H
2021
2022
1H
1H
2021
2022
2,756
2,531
1H H1
2021 2022
871
663
1H 1H
2021 2022
21.9%
22.3%
1H 1H
2021 2022
794
1H
1H
2021
2022
Net
(IDR
Revenue contraction
Relatively flat COGS
From lower total sales volume
Despite higher fuel cost,
compensated with ASP
as coal consumption has
increase
been secured at DMO
price
*attributed to owners of parent entity
Lower operating
Finance cost
expenses
efficiency
From lower,
Inline with lower
transportation,
interest bearing debt
promotion and labor
balance
cost
3
DISCIPLINE FINANCIAL MANAGEMENT
Continuous deleveraging supported another improvement in leverage ratios
Improved Payment Capacity & Leverage Ratios
Net Debt/Equity (x)
Lower is better
0.8
0.7
0.6
0.4
0.4
0.2 0.1
-
2017
2018
2019
2020
2021
1H 2021
1H 2022
Debt/EBITDA (x)
Lower is better
3.5
2.8
2.3
2.6
2.0
1.5
2.1
-
2017
2018
2019
2020
2021
1H 2021
1H 2022
EBITDA/Interest (x)
6.5
6.9
Higher is better
5.8
5.1
4.6
3.9
2.7
-
2017
2018
2019
2020
2021
1H 2021
1H 2022
▼48.0%
Decreased Interest-Bearing Debt by ~16 trillion IDR through debt repayment
Interest Bearing Debt (IDR Bn)
33,632 32,961
30,042 28,673 27,819 28,171
25,735 25,252
20,259 18,630 18,502 17,477
Jun 19 Sep 19 Dec 19 Mar 20
Jun 20 Sep 20 Dec 20 Mar 21
Sep 21 Dec 21 Mar-22Jun-22
Short term borrowings
Long-term bank loans
Bonds payable
Lease liabilities
Temporary Syirkah Fund
4
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PT Semen Indonesia Persero Tbk published this content on 07 September 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 07 September 2022 02:19:05 UTC.
PT Semen Indonesia (Persero) Tbk is an Indonesia-based multinational building materials solutions company. The Company provides a range of product and service variants according to the level of development needs from simple renovations, property development projects, public facilities, infrastructure to other large-scale projects. The Company has two segments: cement production and non-cement production. Cement production segment produces and markets cement products in Indonesia, Vietnam, as well as various export destination countries. In addition to production facilities, the Company has also developed various supporting facilities, such as packaging factories, ports, and other distribution support networks spread across all provinces in Indonesia and parts of Vietnam. Non-cement production segment consists of mining limestone and clay, manufacturing packaging bags, developing industrial estates, finished and ready-to-use concrete, information system services, logistics and trading.
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