Earnings Call Presentation 1H 2020 PT Semen Indonesia (Persero) Tbk.
Company Profile Factory Locations Indonesia and Vietnam Company Name Market Locations PT. Semen Indonesia (Persero) Tbk Asia, Australia, and Pacific Shareholders 51,01% Government of Indonesia Nature of Business 48,99% Public Cement Industry Milestones Facts 1. PT Semen Indonesia (Persero) Tbk., previously known as PT 53 Million tones p.a of designed cement production capacity Semen Gresik (Persero) Tbk. WAS established on 7 August 1957. #1 largest cement producer in the ASEAN region 2. Publicly listed in IDX since 1991. 53% market share in Indonesia (up to June 2020) 3. Consolidated with PT Semen Padang (Persero) and PT Semen Tonasa (Persero) in 1995. 9 Integrated cement plants in 8 locations in Indonesia and 1 in Vietnam 4. Acquired Thang Long Cement Company (TLCC) Vietnam in 2012. 5. Acquired PT Holcim Indonesia in 2019. 2
Operational Area 3
Corporate Group Structure 4
Business Portfolio Clinker & Cement Downstrea Others Inbound Materials Transportation Distribution Production m Business SG,ST,SP, SBI* SILOG SIB, SBB ** KIG UTSG • Cement distribution, • Clinker and Cement • Sea & Land Transportation • Ready Mix • Industrial estate • Mining Contractors • Other building • Loading & Unloading • Precast production in Indonesia (limestone & clay) • Port Management material distribution SIIB IKSG SII TLCC • Packaging from kraft & • Clinker & cemen • Cement & clinker • Investment • Building Materials woven , especially for trading production in Vietnam Management (SBI) • Gypsum Trading cement packaging SISI KSI • IT services • GBFS • GGBFS SMI • Property • Building management • Preparation of cement Notes: raw material mining. * Subsidiary under SIIB, ** Subsidiary under SBI 5
Board of Management Board of Commissioners Board of Directors Hendi Prio Santoso Rudiantara Chairman President Director AGMS 19 June 2020 AGMS 15 September 2017 Hendrika Nora OS Fadjar Judisiawan Lydia Silvanna Djaman Doddy Sulasmono D Commissioner Director of Business Commissioner Director of Finance AGMS 30 April 2018 Strategy & Development AGMS 22 May 2019 AGMS 15 September 2017 AGMS 15 September 2017 Nasarudin Umar Adi Munandir Independent Mochamad Choliq Benny Wendry Director of Marketing & Commissioner Independent Supply Chain Director of Production AGMS 31 March 2017 Commissioner AGMS 30 April 2018 AGMS 15 September 2017 AGMS 30 April 2018 Tri Abdisatrijo Astera Primanto Sony Subrata Tina T Kemala Intan Commissioner Director of Engineering & Commissioner HR & Legal Director AGMS 31 March 2017 Project AGMS 23 January 2015 AGMS 22 Mei 2019 AGMS 15 September 2017 6
Indonesian Cement Players Installed Capacity 35.5 Semen Indonesia 25.5 Indocement 14.8 Solusi Bangun Indonesia (ex-Holcim) 8.7 Conch Cement Indonesia 7.7 Semen Merah Putih (Cemindo Gemilang) 7.4 Semen Bosowa 3.9 Semen Baturaja 1.8 Semen Garuda (Jui Shin Indonesia) 1.8 Semen Jawa (Siam Cement Group) 1.8 Semen Bima (PT STAR) 0.4 Semen Kupang 3.1 Others (non ASI members) Total 2019: 112.4 Mio Ton 2019 Domestic Supply Design Capacity Production Domestic 112.4 MT (2019) Volume Growth Utilization Export: 6.4 MT Domestic: 69.8 67%* 76.1 MT 0.34% MT *Based on Indonesia Cement Association recorded national capacity and production volume 2019 and the Company data 7
Indonesian Cement Market Bag cement still represent the largest portion of Cement demand growth was dominated by the growth of bulk cement Indonesia cement consumption to support infrastructure projects in million ton 80 40,0% 70 30,0% 60 18,7 18,8 BULK 16,9 14,5 14,8 20,0% 13 12,2 23,60% 50 10,8 8,8 40 10,0% 6,6 30 0,0% 51,0 BAG 50,8 49,4 46,9 47,5 46,8 6,4 45,7 44,1 20 39,2 34,2 76,40% -10,0% 1H 2020 10 20,7 0 -20,0% source: Indonesia Cement Association 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 1H'20 Bag Vol Bulk Vol Growth Bag Growth Bulk Bulk Portion source: Indonesia Cement Association Domestic Sales in Java v.s. Outside of Java 419 415 410 in million ton 388 80,0 20,0% 317 70,0 15,0% in trillion IDR 290 60,0 10,0% 50,0 38,9 39,0 37,4 34,5 33,4 33,7 184 178 32,6 40,0 5,0% 30,3 26,5 146 30,0 21,9 114 0,0% 86 20,0 14,7 30,9 30,5 28,9 27,5 28,2 -5,0% 26,2 24,6 25,3 10,0 21,5 18,9 12,5 - -10,0% 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 1H'20 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Outside Java Java Growth source: Indonesia Cement Association 8
Market by Geography 1H 2020 9
Market Leader in Indonesia 1H 2020 53.1% 44.8% 26.1% 22.7% 7.7% 6.9% 6.6% 5.6% 3.5% 3.2% 3.0% 2.7% 2.3% 2.0% 1.6% 1.6% 1.6% 1.6% 0.4% 0.4% SMGR INTP Conch Bosowa Merah Baturaja Jui Shin Siam STAR Semen (SMIG + SBI) Putih Cement Kupang Market Share Capacity Share source: Indonesia CementAssociation 10
Domestic Demand 1H 2020 Industry 1Q 2Q YEAR TO DATE AREA 2020 2019 YoY (% ) 2020 2019 YoY (% ) 2020 2019 YoY (% ) Jakarta 853,628 754,808 13.09% 502,335 578,450 -13.16% 1,355,962 1,333,258 1.70% Banten 708,455 812,846 -12.84% 521,070 683,893 -23.81% 1,229,525 1,496,739 -17.85% West Java 2,443,345 2,737,637 -10.75% 2,130,910 2,438,456 -12.61% 4,574,254 5,176,092 -11.63% Central Java 1,714,406 1,863,367 -7.99% 1,732,883 1,842,137 -5.93% 3,447,289 3,705,504 -6.97% Yogyakarta 227,106 386,017 -41.17% 202,542 317,319 -36.17% 429,649 703,336 -38.91% East Java 2,019,370 2,120,293 -4.76% 1,641,285 1,871,877 -12.32% 3,660,655 3,992,170 -8.30% Total Java 7,966,310 8,674,968 -8.17% 6,731,024 7,732,131 -12.95% 14,697,334 16,407,098 -10.42% Sumatra 3,131,319 3,241,944 -3.41% 2,858,148 2,787,899 2.52% 5,989,467 6,029,842 -0.67% Kalimantan 968,248 1,074,386 -9.88% 806,683 877,340 -8.05% 1,774,931 1,951,726 -9.06% Sulawesi 1,240,284 1,335,830 -7.15% 1,009,181 1,125,172 -10.31% 2,249,466 2,461,002 -8.60% Nusa Tenggara 833,293 917,291 -9.16% 738,960 879,875 -16.02% 1,572,253 1,797,166 -12.51% East Indonesia 482,316 429,059 12.41% 385,356 348,074 10.71% 867,672 777,133 11.65% Total Indonesia 14,621,770 15,673,477 -6.71% 12,529,351 13,750,490 -8.88% 27,151,122 29,423,967 -7.72% Export Cement 195,075 316,155 -38.30% 119,193 232,350 -48.70% 314,269 548,505 -42.70% Export Clinker 1,191,579 1,105,463 7.79% 2,223,741 1,154,481 92.62% 3,415,321 2,259,943 51.12% Total Export 1,386,654 1,421,618 -2.46% 2,342,935 1,386,830 68.94% 3,729,589 2,808,448 32.80% Grand Total 16,008,425 17,095,094 -6.36% 14,872,286 15,137,320 -1.75% 30,880,711 32,232,415 -4.19% source: Indonesia CementAssociation 11
Performance Overview 1H 2020 1H 2020 1H 2019 Chg YoY in billion IDR (a) (b) (a:b) Total Group SIG Sales Volume (ton) 18,117,760 17,776,902 1.9% Revenue 16,026 16,351 -2.0% Cost of Revenue 11,213 11,686 -4.0% Gross Profit 4,812 4,665 3.2% Operating Expense 2,696 2,614 3.1% Operating Income 2,117 2,050 3.2% EBITDA 3,471 3,167 9.6% Finance Income (Cost) (1,075) (1,374) -21.8% Profit Before Tax 1,028 676 52.0% Net Profit Attributable to Owners of Parent Entity 612 485 26.3% Margin Gross Profit Margin 30.0% 28.5% 1.5% Operating Profit Margin 13.2% 12.5% 0.7% EBITDA Margin 21.7% 19.4% 2.3% Net Profit Attributable to Owners of Parent Entity Margin 3.8% 3.0% 0.8% Ratios ROE 7.7% 8.6% -0.9% *Notes: Net Debt to Equity 74.8% 103.8% -29.0% 2019 sales volume Debt to EBITDA (x) 3.1 4.8 -1.8 excludes SBI January 12 EBITDA/Interest (x) 3.1 3.6 -0.5 2019 sales volume
SMGR Performance Revenue Gross Profit 12.714 40.368 45.000 50,0% 14.000 70,0% 40.000 10.646 31,5% 12.000 60,0% 40,0% 9.856 30.688 9.331 35.000 27.814 26.948 26.134 39,5% 10.000 50,0% 7.960 37,7% 30.000 30,0% 31,5% 30,4% 8.000 28,6% 40,0% 25.000 16.026 20,0% 10,3% … 20.000 6,4% 6.000 30,0% 15.000 10,0% -0,1% -2,0% 4.000 20,0% -3,0% 3,2% 10.000 0,0% 2.000 10,0% 5.000 - -10,0% - 0,0% 2015 2016 2017 2018 2019 1H '20 2015 2016 2017 2018 2019 1H '20 Revenue Revenue Growth Gross Profit Gross Profit Margin EBITDA Net Profit 4.521 4.522 8.699 10.000 60,0% 5.000 50,0% 9.000 4.500 45,0% 7.473 6.962 50,0% 8.000 4.000 40,0% 6.577 3.079 7.000 3.500 35,0% 26,3% 40,0% 27,7% 4.904 2.392 6.000 26,6% 3.000 30,0% 21,4% 21,5% 17,3% 5.000 30,0% 2.500 16,8% 25,0% 3.471 1.621 17,6% 4.000 2.000 20,0% 10,0% 20,0% 9,6% 3.000 1.500 15,0% 5,8% 5,9% 612 2.000 1.000 10,0% 10,0% 1.000 500 5,0% - 0,0% - 0,0% 2015 2016 2017 2018 2019 1H '20 2015 2016 2017 2018 2019 1H '20 EBITDA EBITDA Margin Net Profit Net Profit Margin 13
SMGR Financial Position Total Interest Bearing Debt (IDRbn) Cash Balance (IDRbn) EBITDA/Interest 5,246 19.1 30,042 27,819 3,950 3,638 3,345 2,847 6.9 6.5 10,019 9,602 6,260 3.8 2.7 2016 2017 2018 2019 1H '20 2016 2017 2018 2019 1H '20 2016 2017 2018 2019 1H '20 Net Debt/Equity Debt/EBITDA Gross Debt/Equity 88.6% 3.5 85.0% 80.8% 3.1 74.8% 2.0 1.5 33.3% 29.4% 0.9 22.3% 20.5% 14.0% 11.8% 2016 2017 2018 2019 1H '20 2016 2017 2018 2019 1H '20 2016 2017 2018 2019 1H '20 14
Recommend
More recommend
