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Quick Appointment
AKRA's financial analysis is still healthy and improving next year despite the Covid-19 pandemic which limits various activities that disrupt the trade and distribution of fuel oil and chemicals owned by PT AKR Corporindo (AKRA).
The average selling price (ASP) of fuel oil decreased 24.9% annually during this period. Meanwhile, basic chemicals ASP also decreased 19.5% on an annual basis. In the third quarter of 2021, AKRA recorded an 8.3% annual decline in revenue to Rp 13.86 trillion. However, AKRA was still able to record a net profit growth of 17.69% on an annual basis to IDR 665.4 billion.
Lease income from Freeport of Rp. 87 billion and revenue from utilities of Rp. 23 billion were the supporting factors for the increase in profit. AKRA's gross margin increased from 8.5% in the third quarter of 2019 to 10.6% in this year's period.
The pandemic will no longer have a significant negative impact on AKRA's performance, AKRA's oil distribution projections will remain at 2.3 million kilo liters (kl) in 2020. AKRA's profitability could increase after working with British Petroleum (BP) to follow the fuel market retail.
AKRA and Petronas agreed to form a joint venture to distribute chemical products utilizing AKRA's infrastructure with methanol as the main product. AKRA's performance in the industrial land business also has bright prospects. After the omnibus law is passed the investment climate will be even busier and the sale of AKRA's industrial land, namely the Java Integrated Industrial and Port Estate (JIIPE) is projected to sell up to 20 hectares this year. As of September, sales of industrial land reached 17 hectares. JIIPE will develop rapidly with government support through special economic zones (KEK).
East Java Industrial Estate JIIPE is the largest industrial estate in East Java as well as the first integrated industrial estate in Indonesia which has been equipped with ports and docks for yachts and housing with an environmentally friendly industrial area, named GEM City, with various exclusive facilities, such as golf courses and shopping centers within the industrial estate.