|
|
|
|
|
JAKARTA, Feb 14, 2020 - (ACN Newswire) - State-owned construction company PT Hutama Karya (Persero) reported solid financial performance through the third quarter ended September 2019, according to the company's unaudited financial statements. Hutama reported net profit of Rp 2,101 trillion, an increase of 43% from the third quarter 2018, and no less than double the September target set last year, and a full 95% of the annual profit target. This achievement was driven by streamlined work flows, efficiencies in procurement and general business innovation, leading to cost of sales decreasing 82%.
"By the end of 2019, Hutama Karya had finished constructing 469.5 km of the JTTS (Trans-Sumatra Toll Road), with 373 km of the highway fully toll operated, including the 140 km Bakauheni-Terbangi Besar section, the 189 km Terbangi Besar-Pematang Panggang-Kayu Agung section, and the 13 km Medan-Binjai and 22 km Palembang-Indralaya sections. Meanwhile, the 74 km Sigli-Banda Aceh section and 131 km Pekanbaru-Dumai sections 1-6 are presently under construction," said President Director of Hutama Karya, Bintang Perbowo.
Bintang says that Hutama Karya hopes to finish construction of the Trans-Sumatra Toll Road by 2024 and is ready to work on other national strategic projects. "To finish the construction of Trans-Sumatra for 2024, Hutama Karya requires some Rp460 trillion of total investment. Through September 2019, the company's Gross Gearing Ratio was 0.67, with 2.25 of the debt covenant. So the company still has a room to add sources of funding," Bintang says.
In order to fulfill the loan portion as one of the funding sources, Hutama Karya is planning to issue a global bond in the near future. "We are currently preparing for the Global Ratings process and other permissions," adds Bintang.
Hutama Karya was assigned by the government to develop and operate the 24-section 2,769 km Trans-Sumatra Toll Road, connecting Aceh Province with Lampung Province. Currently, there are 12 priority sections being constructed, which are expected to boost the regional as well as national economy. This mega project also makes Indonesia part of the Asian Highway Network, the land transportation network with 141,000 km international standard highways that passes through 32 countries in Asia and Europe.
The Indonesian government assigned the construction with good reason. "The government intends to maximize the natural resource potential by industrial down-streaming, which will accelerate regional and national economic growth; making Sumatra a new growth engine for Indonesia," Bintang continues.
"The existence of Trans-Sumatra will provide many logistical as well personal benefits in Sumatra due to shorter travel time, which will reduce the logistics costs for local products, as well as natural resources and other resources which can be distributed faster with affordable cost. The priority is to expedite the mobility of goods and people, such as from Aceh to Belawan Port, Medan and Kualanamu International Airport, which will boost the tourism industry, increase the commuter flow in Stabat-Binjai-Medan, and reduce the congestion in Medan."
One of the most important indicators for measuring the success of the Trans-Sumatra Toll Road will be the regional development of Sumatra after the integrated infrastructure has been built. "We are anticipating the Sumatra region to attract commercial and industrial projects. Our studies identify at least 84 planned infrastructure projects in the non-property segment around Trans-Sumatra, comprising industrial areas, airports, ports, streets and bridges, irrigation and dams, and energy and rail projects," Bintang said.
PT Hutama Karya (Persero)
Muhammad Fauzan, Corporate Secretary
Media enquiries:
Intan Zania, Corporate Communication
Phone: +82 21 810 3708 ext.504
Email: Intan.Zania@hutamakarya.com
Topic: Earnings
Source: PT Hutama Karya (Persero)
Sectors: Transport & Logistics, Construct, Engineering, ASEAN, Government
http://www.acnnewswire.com
From the Asia Corporate News Network
Copyright © 2026 ACN Newswire. All rights reserved. A division of Asia Corporate News Network.
|
|
|
|
|
|
|
Latest Press Releases
Branzy Advances Economic Independence through Public Welfare Initiatives and Digital Literacy Training in Mozambique 
July 10, 2026 18:50 HKT/SGT
|
|
|
KIT WAN STUDIOS to shine on the CENTRESTAGE ELITES runway this September
July 10, 2026 17:36 HKT/SGT
|
|
|
London Tech Week Signals a New Phase for AI, Shenzhou Guangda Gains Global Recognition
July 10, 2026 16:05 HKT/SGT
|
|
|
China's "Prefab Buildings" Go Global: CIMC Modular Solutions Embed into the Global Digital Infrastructure Wave
July 10, 2026 15:16 HKT/SGT
|
|
|
CX Live's The Experience Show UK 2026 Key Finding: As AI Scales, Trust Becomes the Competitive Advantage in the UK
July 10, 2026 14:38 HKT/SGT
|
|
|
Reconova Rings HKEX Listing Bell to Accelerate Global Rollout of Vision Embodied Intelligence
July 10, 2026 12:23 HKT/SGT
|
|
|
Parents Are Underestimating Their Kids' Digital Lives - Especially With AI: New Family Online Safety Institute Research
July 9, 2026 22:00 HKT/SGT
|
|
|
CTF Life Unveils New Brand Campaign 'Your Aspiration. Our Aspiration.' Reinforcing Commitment to Creating Value Beyond Insurance
July 9, 2026 21:00 HKT/SGT
|
|
|
GMG Graphene Coating THERMAL-XR(R) Reaches Global Benchmark Testing Milestone of 30,000 Hours with No Corrosion
July 9, 2026 20:29 HKT/SGT
|
|
|
ATHA Energy Reports Widest Intersection to Date at Rib North Discovery with 37 m of Composite Uranium Mineralization in Ribn-DD-003 - Multiple Drillholes Demonstrating Continuity of Uranium Mineralization
July 9, 2026 19:00 HKT/SGT
|
|
|
|
|
More Press release >> |
|
 |
|
 |
|
